PT Adaro Indonesia has once again affirmed as a mining company that has the best environmental management, so it won the 2022 Gold Proper award from the Ministry of Environment and Forestry of the Republic of Indonesia.Operational Director of PT Adaro Indonesia, Wahyu Sulistiyo in Banjarmasin, Saturday said that the award was handed over by Vice President of the Republic of Indonesia Ma'ruf Amin and Minister of Environment and Forestry of the Republic of Indonesia Siti Nurbaya which was received by the President Director of PT Adaro Indonesia, Priyadi, at the Palace of the Vice President of the Republic of Indonesia, Thursday (29/12).This is the fifth Gold Proper received by Adaro, since it was first in 2012, which was continued in 2019, 2020, 2021, and 2022.According to Wahyu Sulistiyo, this award is the result of the hard work of all parties involved.Wahyu said that the Gold Proper assessment is not only one aspect but involves many aspects, including environmental management, good mining practices, community empowerment around the mine, to the management of supporting factors for operational activities such as security, relations with the surrounding community, and a positive image of the company built in the mass media.Through this award, Wahyu continued, in the future there will be more and more challenges, so that synergy between functions in Adaro must continue to be strengthened and this proper is in line with the transformation of the Adaro Group which will gradually transform towards Green Energy."All aspects of Adaro's operations must synergize to achieve the goal of creating an independent post-mining society," he said.Meanwhile, Suhernomo, Head of Mining Engineering of PT Adaro Indonesia said, the Gold Proper award cannot be separated from the continuous guidance provided by the District Environmental Service, Provincial Environment Agency, Ministry of Environment and Forestry of the Republic of Indonesia, and the Directorate of Engineering & Environment of the Directorate General of Mineral and Coal ESDM to Adaro."We would like to thank the stakeholders who have supported Adaro in winning this award," he said."We also express our gratitude to our holding company, PT Adaro Energy Indonesia, which prioritizes the value of the future green company and green leadership," he said.In this year's proper assessment, PT Adaro Indonesia carries out a superior program for the use of bamboo plants in supporting operational activities and community empowerment programs.Bamboo, which functions as a carbon sink, oxygen producer, and store of water reserves, is used by Adaro to support its operations.Such as planted on the side of the hauling road, in the port area in Kelanis, in the post-mining laboratory area, as well as in other areas in the operational area.In addition, Adaro develops bamboo plants in nursery areas and post-mining study centers in order to synergize post-mining with community empowerment programs.In terms of community empowerment programs, Adaro initiated the use of bamboo plants as the main commodity in building the Racah Mampulang Cultural Market in Balida Village, Balangan Regency.The tourist village, which was built by PT Adaro Indonesia in 2019, has now become one of the leading tourist destinations in Balangan Regency that offers bamboo-themed landscape dishes, local culinary, and banjar cultural arts performances.Image source: ANTARA/HOSource: https://www.antaranews.com/berita/3330873/adaro-kelima-kalinya-terima-penghargaan-proper-emas

Astra Group's heavy equipment and mining issuer, PT United Tractors Tbk (UT/UNTR), is preparing a capital expenditure (capex) of US$ 1 billion or equivalent to IDR 15.5 trillion in 2023. This amount increased by 26.9% from this year of Rp 11.49 trillion.UT Corporate Secretary Sara K. Loebis said that guidance on next year's financial performance could not be delivered. However, next year's capital expenditure allocation is estimated to be US$ 1 billion."Of that amount, around US$ 800-900 million is used for the coal mining contractor segment to replace and recondition heavy equipment. The rest will be divided to meet the infrastructure needs of the company's gold and coal mines," Sara said to Investor Daily, Wednesday (28/12/2022).The source of capex funding, he said, comes from internal cash. However, UT will look ahead, whether it is necessary to take out loans to finance the 2023 capex.Until the third quarter of 2022, the company earned a net revenue of IDR 91.53 trillion, an increase of 36.82% compared to the same period last year of IDR 57.82 trillion. In detail, sales of goods reached IDR 55.14 trillion and service revenue of IDR 36.38 trillion.In that period, UT's net profit reached IDR 15.86 trillion, soaring 50.7% compared to the same period last year of IDR 7.81 trillion. The company's cash flow reached Rp 25.2 trillion, based on RTI data.Next year, UT projects Komatsu's heavy equipment sales to be around 5,500-5,750 units, up 9% compared to the 2022 projection of 5,000 units. As of November 2022, UT sold 5,457 units of Komatsu heavy equipment. In detail, 61% contributed sales to the mining sector, 11% from the forestry sector, 19% from the construction sector, and 9% from the plantation sector. In November 2022, the company posted Komatsu heavy equipment sales volume of 370 units, with a market share of 28%.Sara K. Loebis stated that next year, the company projects coal production and overburden removal of its subsidiary PT Pamapersada Nusantara to increase by 5-6% to 124 million tons and 1.028 billion bank cubic meters (bcm)."Coal sales from the mine itself are targeted at 10.3 million tons. As of November 2022, UT's coal production reached 9.15 million tons. Gold sales are projected to reach 125 thousand ounces (oz) next year," said Sara.Image source: UNTR/PerseroanSource: https://investor.id/market-and-corporate/317749/united-tractors-alokasikan-capex-us-1-miliar-tahun-depan

Ri's cost to acquire 41.87% of Freeport McMoran (FCX) shares in PT Freeport Indonesia for US$ 3.85 billion in 2018 is expected to return capital in 2024, faster than initially estimated, namely in 2025.PTFI President Director Tony Wenas revealed that the faster return on MIND ID's acquisition of Freeport shares was triggered by a surge in copper prices, higher than previously thought.Tony said that initially the company estimated the price of copper at around US $ 3.75 per pound. However, it turns out that currently the price of copper has broken through to US $ 3.8 per pound, and later it is estimated that it will continue to rise to US $ 4 per pound.That way, PTFI's revenue will soar and the dividends that can be given to MIND ID can be even greater. As is known, with this acquisition, Indonesia through MIND ID or Inalum has become the majority shareholder, namely 51.23% of PTFI shares from previously only 9.36%."By the time we are down 2025, it will still use the assumption of a copper price of US$ 3.75 per pound. Now the price is US$ 3.8, we assume it can still reach US$ 4," he explained to CNBC Indonesia, quoted on Wednesday (28/12/2022)."Assuming US$ 4 (per pound), it can be achieved faster than previously calculated," he said.He said that every difference of 10 cents on the dollar could have a big impact on the company's performance, as PTFI's copper concentrate production also increased to 1.6 billion pounds.According to his calculations, every price difference of 10 cents dollars with such a large production, the potential increase in the company's revenue can reach US $ 160 million or equivalent to Rp 2.5 trillion."The price difference of 10 cents is a huge impact. We produce 1.6 billion pounds of copper, so if we produce 10 cents per pound, it is US$ 160 million," he said.For your information, PTFI has so far deposited its dividend to MIND ID of US$ 900 million or equivalent to Rp 14 trillion."The government bought PTFI through MIND ID to issue bonds worth US$ 3.85 billion. So the cost for the acquisition of Freeport was US$ 3.85 billion. Until now, we have paid a dividend to MIND ID of US$ 900 million," he explained.He said that in 2023 PTFI will provide dividends of up to US$ 1.6 billion or equivalent to IDR 25 trillion. With a note, this can be achieved if the price of copper is still around US $ 4 per pound.Then in 2024, Tony said that he would return to pay dividends of up to US$ 1.6 billion. Thus, according to him, the acquisition cost can be said to be paid off or even exceed the initial value of US$ 3.85 billion."Next year, it will be around US$ 1.5 billion to US$ 1.6 billion if the price of copper is around US$ 4. And in 2024 it will also be around US$ 1.6 billion. So if totaled until 2024, it is already more than US$ 3.85 billion. So that can be said to be paid off," he concluded.Previously, in 2020, the President Director of PT Inalum (Persero) or MIND ID, which at that time was held by Orias Petrus Moedak, explained that the takeover of Freeport shares was one of the many policies that had a long-term impact.But in the short term, it has an impact on performance that decreases for 1-3 years. He explained that since 2021 there has been dividend receipts, but the value has not been US$ 1 billion. Starting in 2023, the dividend to be received is US$ 1 billion or IDR 14 trillion.Three years later after the distribution of dividends of US$ 1 billion, according to him, the costs incurred for the takeover of PT Freeport will only be returned on investment."Since 2023 in 3 years after that we can payback. Actually, in 2021 there has been revenue, but not yet US$ 1 billion, we have obtained it in 2025," he said in a Hearing Meeting (RDP) at Commission VII of the House of Representatives, Wednesday (22/01/2020)."Short term indeed we will experience like this. And we monitor closely from time to time, operationally it is going well," he added.As is known, in 2018 Indonesia officially became the majority shareholder of PT Freeport Indonesia by 51.23% through the MIND ID Mining State-Owned Enterprise (BUMN) Holding or previously on behalf of PT Inalum (Persero).The acquisition value to become the majority shareholder of Freeport reached US$ 3.85 billion or equivalent to Rp 55.8 trillion at that time. This acquisition marks an increase in Indonesia's ownership in PTFI from just 9.36% to 51.23%.Image source: Biro Pers Sekretariat PresidenSource: https://www.cnbcindonesia.com/news/20221228175531-4-400979/balik-modal-ri-akuisisi-freeport-bisa-lebih-cepat-kok-bisa

PT Merdeka Copper Gold Tbk (MDKA) said that its subsidiary, PT Merdeka Energi Nusantara (MEN) has completed the acquisition of shares issued by PT Merdeka Battery Materials (MBM), which is also still a controlled company of MDKA."MEN and MBM had previously signed a conditional share share acquisition agreement effective on December 8, 2022 (CSSA). The settlement based on CSSA has occurred on December 27, 2022," said MDKA Corporate Secretary Adi Adriansyah Sjoekri in an information disclosure quoted on Friday (30/12/2022)."Referring to the disclosure of information submitted by the company through Letter No.275/MDKA-JKT/CORSEC/XII/2022 dated December 12, 2022 in connection with the conditional share takeover agreement, we hereby convey that a settlement has occurred," he continued.With this settlement, explained Adi, MEN as a controlled company with 99.99% of its issued and paid-up capital owned by the company, has effectively become a shareholder of MBM with 59.88% ownership of all issued and paid-up capital by MBM."There is no adverse impact on the settlement of the company's operations, legal, financial condition, or business continuity," he added.Prior to the transaction, 55.3% of MBM's shares were owned by MEN (previously PT Batutua Tambang Abadi); PT Prima Puncak Mulia owns 15.4% of MBM's shares; Winato Kartono 8.6%; PT Prima Langit Nusantara 5.6%; Hardi Wijaya Liong 3.7%; Garibaldi Thohir 4.8%; Edwin Soerjadjaya 2.9%; Phillip Suwardi Purnama 3.3%; Agus Superiadi 0.3%; and Trifena 0.1%.It was explained in the previous information disclosure that the transaction value or the total price of taking part of the shares was US$ 180.04 million (around Rp 2.8 trillion).Image source: Ilustrasi/PerseroanSource: https://investor.id/market-and-corporate/317815/anak-usaha-merdeka-copper-mdka-rampungkan-transaksi-rp-28-triliun

Mining services company, PT Putra Perkasa Abadi (PPA) targets overburden removal (OB) volume to reach 420 million bank cubic meters (bcm) throughout 2023. In this year, the volume of land stripping Putra Perkasa is about 270 million bcm.This year, Putra Perkasa Abadi received many contracts from several large companies such as Adaro Energy, Dian Swastatika Sentosa, Kaltim Prima Coal, Borneo Indobara, ABP Energy, Bukit Asam and MHU Coal."We are targeting production next year to be 420 million bcm," said Director of PT Putra Perkasa Abadi, R Teguh Saptosubroto, in a media gathering forum, yesterday.Putra Perkasa since 2010 has started operating with a volume of 6.5 million bcm, then increased to 16.1 million bcm in 2011, 22 million bcm (2012), 27.8 million bcm (2013), 15.2 million bcm (2014), 27.5 million bcm (2015), 38.1 million bcm (2016).Furthermore, it is 88.8 million bcm (2017), 139.6 million bcm (2018), 191.4 million bcm (2019), 145.5 million tons (2020), 173.7 million tons (2021), and 272.4 million tons (as of December 25, 2022).As the volume of overburden removal increases, the management of Putra Perkasa Abadi also continues to increase heavy equipment and increase the number of workers.Teguh explained that his party has ordered more than 200 units of heavy equipment, which will come next year. Not only that, Putra Perkasa Abadi plans to continue to add another around 150 units of heavy equipment. "So if you order heavy equipment, it must be three years in advance," he said.Teguh said that currently with the increasing number of clients, the company has to prepare another workforce of around 4,000 employees. Currently, Putra Perkasa Abadi already has 11,000 employees. "We already have 2,000 heavy equipment for project purposes," he said.In addition to the coal segment, Teguh said, his party will also continue to expand into mineral mining services. Currently, Putra Perkasa Abadi is already a contractor for two nickel mines. "We are participating in the due diligence of nine bauxite mining companies," he said.Teguh said, Putra Perkasa Abadi charges mining service fees between US $ 1.8 to US $ 2.4 per bcm. With an estimated volume of 420 million bcm of stripping next year, they have the potential to earn US$ 756 million - US$ 1 billion in revenue. "We want to be the number two company in the industry," he said.On the other hand, Putra Perkasa Abadi spends about 250 million kiloliters of diesel fuel per year. Currently, they will also follow the government's rules regarding mandatory B40 next year. "We will coordinate with heavy equipment providers," Teguh said.He said that the current business growth cannot be separated from the appropriate compensation program, which is to provide allotment of shares to employees. "Employees get the opportunity to buy shares of the company for a total of 20%. If our profits increase, then the value of workers' shares will also increase," Teguh explained.Image source: Kontan.co.id/Aziz HusainiSource: https://industri.kontan.co.id/news/ingin-jadi-market-leader-putra-perkasa-abadi-bakal-genjot-produksi-420-juta-bcm

General chairperson of the Indonesian Chamber of Commerce and Industry (Kadin), Arsjad Rasjid, on Tuesday voiced support for the bauxite export ban, saying it will increase the added value of the nation’s natural resources.The ban on bauxite exports will come into effect from June 2023. The policy is in accordance with the mandate of Law Number 3 of 2020 on Mineral and Coal, Rasjid said."If we only export raw materials, well, we are actually at a disadvantage. It is our right as a nation to have added value. So this measure was pursued as a result of an evaluation by the government of the previous scheme, and also to encourage domestic industrialization," he said in a statement received here on Tuesday.However, the export ban policy would be even better if backed by a clear downstreaming road map, instead of just going on a spree of building as many smelters as possible with no aim nor purpose, he added.Currently, factories for bauxite ore processing and refining are located in Central and Southeast Sulawesi, East Halmahera and South Halmahera, Galang Batang Bintan Island, and West Kalimantan.According to Rasjid, the downstreaming effort undertaken by the government is aimed at encouraging an increase in the processing of other domestic natural resources."This is not only limited to nickel and bauxite, but also includes tin, copper, and especially gold as well. We must utilize our natural resource wealth to process it as best as possible and generate added value, which will be beneficial to the welfare of the Indonesian people," he said.It is also expected that bauxite downstreaming would be similar to that for nickel—integrated from upstream to downstream—so that it actually produces high added value and not just semi-finished goods, he added.He said he is confident that downstreaming will help promote the processing of bauxite into aluminum ingots by 2025. This would have an impact on the national economy through downstream bauxite, light industry and modern, environmentally friendly logistics."Aluminum ingots are required by the domestic industry, like plates, billets, scrap, and profile shapes necessary in industrial processes such as airplanes, ships, automotive, and construction," he pointed out.In the next few years, it is expected that these needs would be entirely met by the domestic aluminum industry. Indonesia can meet its aluminum needs for some decades to come with its current bauxite reserves. Image source: ANTARA/HO-KADINSource: https://en.antaranews.com/news/267504/bauxite-export-ban-will-generate-added-value-chamber

Coal issuer PT Indika Energy Tbk. (INDY) targets coal production to reach up to 34 million tons next year. This target is still the same as this year's production.Indika Energy's Head of Corporate Communication Ricky Fernando said Kideco had submitted the RKAB to the Ministry of Energy and Mineral Resources (ESDM)."Kideco's production plan in 2023 is still waiting for approval from the RKAB, but it is expected to be around 31-34 million tons," Ricky said to Bisnis, Tuesday (27/12/2022).For information, INDY's coal production is carried out through its subsidiary, PT Kideco Jaya Agung. In 2021, Kideco was recorded to be able to produce as much as 35.7 million tons of coal.As for this year, Kideco lowered its coal production target from the realization of 2021 to 34 million tons.Furthermore, INDY projects coal prices in 2023 to remain at positive levels.Previously, Ricky said INDY saw that the coal business until the end of 2022 is likely to remain stable. According to him, this is supported by high coal prices and is likely to remain at a high level until the end of this year.However, he said the main challenge in this sector is the high rainfall until the end of 2022.Image source: CEO Grup Indika EnergyAzis Armand - Istimewa.Source: https://market.bisnis.com/read/20221227/192/1612659/indika-energy-indy-targetkan-produksi-34-juta-ton-batu-bara-pada-2023

Repeated dipper-to-track strikes can reduce crawler shoe life and cause structural cracking and dipper damage, resulting in unplanned downtime and increased repair costs. Track Shield 2 is a new suite of control functions from Komatsu Mining that helps the operator decrease the number or severity of impacts between the dipper and the tracks or other parts of the shovel.This solution calculates the position of the dipper and modifies controls to mitigate collisions. Komatsu says that Track Shield 2 is ideal for a variety of mining operations and applications including but not limited to oil sands with wide path tracks; TRC dippers; wider dippers (76 cubic yards or greater); plus configurations where it is difficult to see potential strikes.Komatsu states: “Track Shield 2 has been engineered to substantially reduce the number or severity of costly collisions with the dipper on your valuable shovel asset. It’s a sophisticated technology upgrade that can help reduce maintenance costs and increase machine longevity from fewer incidents of damage or fatigue to the shoes, front idler, dipper components, cable reel and other components.”It adds: “We’ve worked with our valued customers to design a solution that minimises the impact on operator motions during tuck to maintain shovel productivity. Field tests have shown statistically no reduction in productivity while Track Shield 2 is in operation when properly tuned. It can also assist operators by guiding them to where they need to be with respect to the shovel’s structure and digging face while reinforcing best digging practices.”Tuning is an initial process that configures Track Shield 2 based on operational priorities and objectives. “We’ll work with you to pinpoint your optimal approach that aligns with your unique operation. For instance, Track Shield 2 can be custom tuned to focus on mitigating risk – avoid almost all collisions. Or it can be performance-configured – optimise productivity while reducing damage. It’s your choice. Komatsu service personnel provide one-time tuning in close collaboration with your mining operations and fleet maintenance teams.”Image source: Paul Moore Source: https://im-mining.com/2023/01/04/komatsu-reduces-severity-of-dipper-to-track-strikes-with-track-shield-2/

PT Merdeka Copper Gold Tbk (MDKA) has received securities for receivables from some of its subsidiaries worth a total of USD 225 million.The management of MDKA said that these collaterals are obtained from PT Merdeka Battery Materials (MBM), PT Merdeka Energi Industri (MEI), and PT Merdeka Industri Mineral (MIM). The collaterals given to MDKA by its subsidiaries are in various forms, including account mortgage, fiduciary assignment of receivables, and moratorium.These securities were given following the agreement between MDKA and MBM dated July 29, 2022. Based on this agreement, the company recorded receivables worth USD 225 million from MBM.“The transaction takes place after considering the way to reduce the risk of default of MBM’s debts owed to the company,” the management of MDKA added in the official release.For the record, this transfer of securities for receivables is categorised as an affiliate transaction as regulated by the Financial Services Authority (OJK). However, it is not a material transaction as the value of this transaction does not reach over 20% of MDKA’s total equity. Image source: KR/ZHSource: https://www.idnfinancials.com/news/45585/merdeka-copper-gold-secures-collaterals

PT J Resources Asia Pasifik Tbk (PSAB) is developing a number of gold mining projects to improve its business performance in the future.During 2022, PSAB is focusing on completing permanent and temporary access road work from and to the new Tapagale pit located in the company's Bakan gold mining project area in Bolaang Mongondow, North Sulawesi.The existence of the road will make it easier for PSAB to transport gold mining materials from the Bakan project. What's more, the gold hidden in Bakan has a fairly high grade of about 0.81 grams per ton.In addition, PSAB also carried out work in the form of the construction of three sediment ponds and a sewage channel in the Tapapagale pit.PSAB management has also poured capital expenditure (capex) of US$ 6.7 million as of November 2022 to develop the Bakan project."The overall capex for the Bakan project is around US$ 20 million," said Sanjaya J. Director of J Resources Asia Pacific in a public expose, Thursday (29/12).On the same occasion, Adi Maryono, Director of J Resources Asia Pacific said that the construction of the access road in the Tapagale Pit will be completed in the first quarter of 2023. When it goes down, PSAB can further optimize the gold production of the Bakan Project which is estimated at 80,000 tons per year.In general, the Bakan project has 1.1 million ounces of gold resources and 614,000 ounces of reserves. The Bakan project is considered to be able to continue to make a maximum contribution to PSAB's operational performance in the next few years.Furthermore, PSAB is also developing the Doup gold mine project which is also located in Bolaang Mongondow. Currently, PSAB is still working on a gold processing plant for the Doup project.PSAB also built a power over head line with a capacity of 20 MW for electricity supply needs from PLN to the Doup project. A water treatment facility was also built by PSAB in the project. Overall, the Doup project itself has a capex need of US$ 154 million."We will start preparations for gold mining at the Doup project in the fourth quarter of 2023 and it is expected that gold production can start in the first quarter of 2024," said Adi.He also said that the Doup project has 3.4 million ounces of gold resources, while its gold reserves reach 1.8 million ounces. The gold that can be produced from the mine is estimated to be around 60,000—70,000 ounces per year over the next 20 years.Image source: ANTARA FOTO/M RusmaSource: https://industri.kontan.co.id/news/j-resources-psab-fokus-kembangkan-proyek-tambang-emas-bakan-dan-doup-tahun-depan?page=2