Our Vision: The Unique Opportunities of Indonesia

Understanding that Indonesia offers a unique window of opportunity for mineral exploration, we believe that a management group with particular expertise in the country’s environment, geology, mineralization, the mining industry, the local culture, language and government offers shareholders an outstanding opportunity for investment growth.

Objectives

Southern Arc operates under three key objectives:

1. To become the premier mineral exploration and development company in Indonesia.
2. To enhance shareholder value by actively advancing, and bringing to production, properties with the potential for at least one million ounces of gold.
3. Exploring for "best of breed" deposits on properties with favourable locations.

Furthermore, the company's goals include continue drill-testing its projects with the aim of defining resources, utilize competitive advantages to aggressively target and acquire additional gold and precious metal assets, create continued, additional shareholder value by delivering strong exploration results and sound, regionally-grounded business practices.

To meet these objectives, the company's management team continues to work diligently and pro-actively in its dealing with the various levels of government from the central level to the village level, statutory organizations and other stakeholders within the jurisdications within which the company operates.

Southern Arc remains committed to growth through well-conceived and well-executed exploration and project advancement programs and acquisition strategies.

Focus on the Sunda-Banda Mineral Arc

The company is actively exploring six properties along Indonesia's southern arc of islands [see Sunda-Banda Arc map], one of the most prospective areas in the world for high-grade porphyry and epithermal vein deposits. This island arc belt, one of the richest mineral trends in the world, stretches across the islands of southern Indonesia. Employing a systematic approach to the evaluation of mineral targets, particularly on the islands of Sumatra, Java, Lombok, and Sumbawa, we will identify, acquire and advance world-class mineral targets.

Island arc terrains through the Pacific Rim are host to some of the most significant copper-gold porphyry-related deposits and epithermal gold deposits. Deposits with very high grades are the basis for very profitable operations in a region where infrastructure is well established and permitting for exploration and development is favourable. More specifically, within the Miocene-aged island chain of Indonesia is Freeport’s massive Grasberg copper-gold deposit and the Newmont/Sumitomo Batu Hijau copper-gold deposit. In addition to copper-gold, the geological region is prospective for low and high sulphidation epithermal mineralization.

A key part of our strategy is acquiring and exploring areas that have had some previous preliminary and up to advanced exploration previously. Of significance has been the company’s acquisition of highly prospective ground that Newmont Mining was obliged to relinquish when it began developing its huge Batu Hijau Mine on the island of Sumbawa.

See quick project overview and objectives.