Baru Gold Corp. (TSX.V: BARU | OTCQB: BARUF) has announced that the North Sulawesi Provincial Police are executing a multi-day enforcement operation against industrial-scale illegal mining within the company's Contract of Work area on Sangihe Island, Indonesia. The operation, which commenced October 29, 2026, has disabled eleven heap leach processing facilities and dismantled illegal base camps. The enforcement action is directly linked to an active civil lawsuit in which Baru's Indonesian subsidiary is seeking approximately CAD$74 million in damages from the parties alleged to be responsible for the illegal activity.

Key Points

  • Baru Gold Corp. (TSX.V: BARU | OTCQB: BARUF) through its 70%-owned subsidiary PT Tambang Mas Sangihe
  • North Sulawesi Provincial Police launched a major enforcement operation on October 29, 2026, targeting illegal mining within Baru's Contract of Work area on Sangihe Island
  • Eleven active heap leach facilities were secured and disabled; the company estimates illegal miners were attempting to process approximately CAD$3 million worth of material
  • Investors may be watching progress toward the company's final production approval and the outcome of its CAD$74 million civil damages claim

North Sulawesi Police Disable All Known Illegal Processing Infrastructure

The enforcement operation, led by senior North Sulawesi Provincial Police criminal investigation officials, secured and disabled all eleven active heap leach processing facilities known to be operating within Baru's Contract of Work area. Authorities also physically dismantled base camps and supply depots belonging to illegal operators, including a primary camp linked to named individual Lukas Lumape. Heavy machinery connected to the illegal operations has been immobilised, and police have established armed perimeter security around all seized equipment and heap leach pads to prevent re-entry, the company's release states.

Enforcement Action Tied to Baru Gold's CAD$74 Million Civil Lawsuit

The police operation specifically targeted individuals against whom Baru's subsidiary has commenced civil proceedings seeking approximately IDR 951 billion, or roughly CAD$74 million in damages, as announced on October 19, 2026. The company states that evidence gathered during the raids — including seized equipment, site documentation, and potential criminal charges — is expected to provide additional evidentiary support for that civil claim. Baru Gold's management says it actively assisted police by supplying information and intelligence to identify enforcement priorities, following formal criminal reports filed by the company and complaints from local community members.

Sangihe Project Security Seen as Prerequisite to Resuming Production

Baru Gold describes securing the Sangihe Island project area as a critical prerequisite for commencing legitimate mining operations at its 25,000-hectare gold-bearing project. The company cautions that while the police operation represents a significant step, permanent elimination of illegal mining will, in its view, require the resumption of site operations. CEO Terrence Filbert stated in the release that the company can "move directly into production once our final approval is granted," though no timeline or approval date was specified in the announcement.