Kula Gold Limited is the 100% owner of the advanced stage Woodlark Island Gold Project on Woodlark Island, located approximately 250 kilometres east from the Papua New Guinean mainland.
The Company holds 450 square kilometres of contiguous, prospective exploration licenses at the Project, which has a JORC Resource of 2.1 million ounces of gold and a JORC Reserve of 766,000 ounces of gold through a successful Feasibility Study completed in Sept 2012.
Kula Gold is well advanced in the permitting process and equity negotiations with the PNG Government, which are expected to be competed in the December quarter 2013 and has finalised a consensus term sheet with the shortlisted group of banks and other financial institutions.
The Project has excellent potential to increase mine life through the conversion of known Resources surrounding the mining Reserves, by near field exploration on advance geological targets and through regional exploration activity.
The Company is continuing to focus on improving Project value through reviewing capital costs, production scheduling and opportunities for a staged upgrading of production capacity.