PT Wilton Makmur Indonesia Tbk (SQMI) plans further expansion.

SQMI Corporate Secretary Mohammad Noor Syahriel said SQMI plans to increase the processing/input capacity of the company's dore gold factory located in Ciemas, Sukabumi, West Java to the level of 1,500 tons per day, aka tons per day (tpd).

Currently, SQMI is reviewing the right time to realize this continued expansion agenda.

"Initially (capacity expansion) was planned after 2 years of the 500 tpd plant (gold dore plant) operating, then we will upgrade, currently being explored if we do it earlier," Syahriel told Kontan.co.id, Friday (6/10).

The Ciemas dore gold factory is a Flotation and Carbon-In-Leach Processing Facility Plant. Commercial production activities at the factory have been ongoing since March 2023.

Initially with an input capacity of 250 tpd, then operations were slowly increased until it reached a maximum input capacity of 500 tpd in July 2023. SQMI management has planned to increase input capacity to the level of 1,500 tpd since the start of the project.

That is why, SQMI has allocated space to install additional processing capacity of 1,000 tpd at the Ciemas dore gold factory.

"It has been planned from the start, that's why upgrade slots have been allocated," said Syahriel.

Prior to the completion of the Ciemas plant and commercial operations, SQMI's management relied solely on pool leaching activities by subcontractors to maintain the company's revenue sustainability.

It is not yet known what impact the full operation of the Ciemas factory facilities will have on SQMI's performance as of the third quarter of 2023. This is because SQMI's interim financial report for the period 30 September 2023 has not yet been published when this writing was written.

Throughout January-June 2023, SQMI still posted a net loss for the current period attributable to the owners of the parent entity of IDR 7.96 billion.

However, this amount decreased by 41.28% compared to the net loss for the current period attributable to the owners of the parent entity SQMI for the period January-June 2022 which reached IDR 13.57 billion.

It is understood that SQMI expenditure on several expense items has decreased. Cost of goods sold, for example, was recorded to have decreased by 14.26 on an annual basis or year-on-year (yoy) from IDR 1.95 billion in January-June 2022 to IDR 1.67 billion in January-June 2023.

Meanwhile, total operating expenses fell 42.67% yoy from IDR 14.24 billion in January-June 2022 to IDR 8.16 billion in January-June 2023.

In the meantime, SQMI's revenue was recorded to have decreased by 26.09% yoy from IDR 2.62 billion in January-June 2022 to IDR 1.94 billion in January-June 2023.

Image source: SQMI

Source: www.industri.kontan.co.id/Wilton Makmur SQMI Kaji Rencana Ekspansi Kapasitas Pabrik Emas Dore Ciemas