PT Bumi Resources Tbk (BUMI) is preparing this year's capital expenditure of USD 80 million. This amount is equivalent to USD 1 for 1 ton of coal produced.
"Most of the capex is for maintenance and to encourage production," Dileep told Kontan.co.id, Friday (12/1). Capex will be funded using internal cash by BUMI's subsidiaries.
The capex is the same as BUMI's capex allocation last year.
BUMI has just received approval for the Work Plan and Cost Budget (RKAB) for the 2024–2026 period. BUMI received this RKAB approval through two Special Mining Business Licenses (IUPK) of its subsidiaries, namely PT Kaltim Prima Coal (KPC) and PT Arutmin Indonesia (AI).
This year, BUMI plans to produce 80 million tons of coal. "The production ratio between KPC and Arutmin is 2:1," explained Dileep.
As of the third quarter of 2023, BUMI's coal sales volume increased 5% year-on-year (yoy) to 54.3 million tons from the previous 51.9 million tons. The volume of coal mined also rose 5% to 56.2 million tons from the previous 53.7 million tons.
Even so, the volume of overburden (OB) removal increased by 20% to 571.2 million bank cubic meters (bcm) from the previous 475.5 million bcm.
However, BUMI's average selling price (ASP) as of the third quarter of 2023 decreased 28% year-on-year to USD 85.2 per ton. As of September 2022, BUMI's ASP at that time reached USD 118.7 per ton.
This has depressed BUMI's financial performance throughout the January–September 2023 period, which is reflected in the decline in net profit to revenue in this period.
This coal mining issuer posted revenue of USD 1.17 billion, a decrease of 15.78% from revenue at the end of the third quarter of 2022 which reached USD 1.39 billion.
Dileep said, when including the contribution of Kaltim Prima Coal (KPC), BUMI's consolidated revenue amounted to USD 4.76 billion. Meanwhile, what is included in the financial statements as of September 2023 according to PSAK 66 is USD 1.17 billion.
Image source: KONTAN/Cheppy A. Muchlis
