Perla Global Capital Advisors has announced the restructuring and capitalisation of PT Galuh Cempaka Diamond Mine in South Kalimantan in Indonesia, and related companies fully owned by HBS Resources (Singapore) and HBS Resources Australia.

The firm also announced that current principal and managing director Fernando Serrano will be elected to the board of directors. He will also assume the position of director of Capital Markets and chief strategist officer.

HBS Resources (Singapore) CEO Trevor Hines said: "The Indonesian market has undergone significant change in the last ten years. Our knowledge of the project, its high-correlation between the drill results and diamonds produced, plus the advances in low-cost mining gives us great confidence in this development."

Serrano said: “We are pleased to have such a mandate, as we have unique knowledge of Latin American and Asian companies who have an interest in the participation in the Diamond Industry, outside their core mining activities, in particular those mining gold, silver, copper and iron ore.

"The Indonesian market has undergone significant change in the last ten years."

“Furthermore, Mr Hines's acquisition of the PT Galuh Cempaka Diamond Mine and related companies immediately created intrinsic value for its shareholders following our due diligence reviews.”

The Cempaka Diamond Mine is located on the island of Borneo. Despite it being located in the second oldest source of diamonds discovered in 17th century, commercial production did not start until relatively recently.

The importance of this mine increased after Indonesia started exporting diamonds in 2004.

A local operating company PT Galuh Cempaka owns 80% of this project. The remaining interest is held by the Government of Indonesia through PT Aneka Tambang.

PT Galuh Cempaka has permission to mine for 30 years, which can be extended for a further 20 years.