BARU GOLD Designated “National Vital Object” and Updates Shareholders ON Lawsuit Filed BY Tms
News Release
May 4, 2023 Trading Symbol: “BARU: TSX.V | BARUF: OTCQB”
BARU GOLD DESIGNATED “NATIONAL VITAL OBJECT” AND UPDATES
SHAREHOLDERS ON LAWSUIT FILED BY TMS
Vancouver, BC - Baru Gold Corp ("Baru " and its subsidiary PT. Tambang Mas Sangihe ("TMS")
or the "Company") is delighted to inform stakeholders and investors that the Company's work on
Sangihe has received the National Vital Object designation. We are also announc ing the
withdrawal of the lawsuit filed by the Company, announced on August 25, 2022.
The Company holds a Contract of Work with the Government of Indonesia that provides the legal
right to explore, construct, and produce gold on the Island of Sangihe. The Government of
Indonesia must uphold the terms of the Contract. In August of 2022, the Company filed a lawsuit
to resolve issues preventing the fulfillment of the Contract of Work's terms.
The objective of the court filing was to pursue financial damages or, preferably, appropriate ly
support the Company and their contractual rights to mine gold on Sangihe Island. The lawsuit
named the President of the Republic of Indonesia and national heads of government agencies,
along with alleged illegal miners and their supporters in the Sangihe Police and local government.
The lawsuit praises President Joko and appeals for support in resolving documented issues created
by his subordinates. Many of the individuals named in the lawsuit were operating for personal
enrichment and actively interfe ring with or failing to support the Company. A key issue raised by
the Company was local government officials and police refusing to protect Company staff and
equipment while overtly supporting illegal mining. Without question, the refusal by the Sangihe
Police to enforce the rule of law prevented the Company from entering production status.
The Company now believes the issues raised in the lawsuit are no longer present and has
withdrawn the lawsuit.
The Company notes that President Joko explicitly acknowledged the harm of illegal mining and
has ordered branches of the military and police to stop the practice. The Company is a supporter of
President Joko. The Company also agrees with President Joko's comments on the environmental
destruction, criminal activity, and economic harm from the loss of tax revenue caused by illegal
mining across Indonesia. The Company is the largest taxpayer on Sangihe Island, the largest direct
foreign investor, and is committed to environmental protection and community dev elopment on
Sangihe Island.
Baru Gold Corporation
9th Floor 1021 West Hastings St
Vancouver, BC V6C 1L6
www.barugold.com
The Company also notes significant leadership changes within the Regional North Sulawesi and
Sangihe Police forces. The Regional North Sulawesi Police Force has entirely new leadership –
Police Chief (Kapolda) Setyo Budiyanto a nd Vice -Regional Head (Wakapolda) Jan Leonard de
Fretes. Both men have prioritized removing all illegal mining operations in North Sulawesi,
including Sangihe Island. Senior representatives of the Regional North Sulawesi Police Force have
visited Sangihe I sland to observe the illegal mining operations. They are fully aware of the false
information maliciously spread about the Company.
The Company also wishes to welcome the new local head of Police on Sangihe (Kapolres) Dhana
Ananda Syahputra. Since his ap pointment, the Company has noted the reorganization within the
local Sangihe police force. The Company trusts that the local police will continue to enforce the
rule of law and never allow illegal miners to flourish on Sangihe Island again.
National Vital Object
The Company is also happy to announce that the Sangihe Project has been designated a National
Vital Object. The designation officially recognizes the Sangihe Project as vital to the national
interests of Indonesia. With this designation, the Comp any is assigned a National Vital Object
Maintainer. This individual is an official representative and will be the liaison with the Company.
National Vital Object Maintainer’s role is to secure, protect and resolve any disruption or disorders
directed at the National Vital Object. The State Police of the Republic of Indonesia is obligated to
provide security assistance to a National Vital Object. As a National Vital Object, the Company
receives special protections and priority treatment. Only a handful of entities are eligible for such a
designation, including foreign embassies, national monuments, and projects vital to securing
Indonesia's strategic sources of income.
Baru Gold CEO, Terry Filbert, commented, "I am thrilled with the recent developments. Rec eiving
the National Vital Objects designation, the support of the Indonesian government, police, and the
restoration of the rule of law , changes literally everything. To be very clear, we have strong local
support from the community on Sangihe. We have wor ked hard to develop relationships with
residents and will continue to do so. Once in operation, the economic and development
opportunities we will provide will beneficially impact everyone on Sangihe – not just concentrate
wealth into the hands of a few. F or the last two years, the Sangihe community has literally been
terrorized by illegal miners and their vocal supporters who have opposed our operations. We will
never get the people benefiting from the illegal mining supporting a legal mining company but –
our National Vital Object designation now obligates the State Police to protect our work on
Sangihe."
The Company also wishes to stress that while it has withdrawn the lawsuit, it will continue to
pursue the illegal miners and their supporters in both cr iminal and civil courts. The Company has
already filed criminal and civil complaints against individuals that have broken the laws of
Indonesia and harmed the Sangihe community.
In Indonesia, the penalty for illegal mining is up to 5 years of prison and a pproximately CAD $9
Million in fines.
ABOUT SANGIHE GOLD PROJECT
The Sangihe Gold Project ( “Sangihe”) is located on the Indonesian island of Sangihe, off the
northern coast of Sulawesi. Sangihe has an existing National Instrument 43 -101 inferred mineral
resource of 114,700 indicated and 105,000 inferred ounces of gold, as reported in the Company's
“Independent Technical Report on the Mineral Resource Estimates of the Binebase and Bawone
Deposits, Sangihe Project, North Sulawesi, Indonesia ” (May 30, 2017). Readers are cautioned that
mineral resources that are not mineral reserves do not have demonstrated economic viability.
The Company intends to proceed to production without the benefit of first establishing mineral
reserves supported by a feasibility study. The Company cautions readers that the any production
decision made by the Company will not be based on a NI 43 -101 feasibility study of mineral
reserves that demonstrates economic and technical viability and as such, there may be involved
increased uncertainty and various technological and economic risks.
The Company's 70-percent interest in the Sangihe-mineral-tenement Contract of Work (“CoW”) is
held through PT. Tambang Mas Sangihe ( “TMS”). The remaining 30 -percent interest in TMS is
held by three Indonesian corporations. The term of the Sangihe CoW agreement is 30 years upon
commencement of the production phase of the project.
Baru has met all the requirements of the Indonesian government and has been granted its
environmental permit.
ABOUT BARU GOLD CORP.
Baru Gold Corporation is a dynamic junior gold developer with NI 43 -101 gold resources in
Indonesia, one of the top ten gold producing countries in the world. Based in Indonesia and North
America, Baru’s team boasts extensive experience in starting and operating small -scale gold
assets.
BARU GOLD CORP
Per: “Terry Filbert”
Terry Filbert, Director
President & CEO
+1-206-890-8285
For investor contacts more information, please contact:
Kevin Shum
Investor Relations
647-725-3888 ext 702
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Certain statements in this News Release, which are not historical in nature, constitute “forward looking statements”
within the meaning of that phrase under applicable Canadian securities law. These statements include, but are not
limited to, statements or information concerning future work programs, results and timing of any work programs, the
Company’s performance or events as of the date hereof. These statements reflect management’s current assumptions
and expectations and by their nature are subject to certain underlying assumptions, known and unknown risks and
uncertainties and other factors which may cause actual r esults, performance or events to be materially different from
those expressed or implied by such forward looking statements. Those risks include the interpretation of drill results;
the geology, grade and continuity of mineral deposits; the possibility tha t future exploration, development or mining
results will not be consistent with our expectations; commodity and currency price fluctuation; failure to obtain
adequate financing; regulatory, recovery rates, refinery costs, and other relevant conversion fact ors, permitting and
licensing risks; general