PT Freeport Indonesia (PTFI) has revealed that the construction of its latest underground mine at Grasberg, Papua, called Kucing Liar, will require a capital expenditure (capex) of approximately USD 500 million per year.
PTFI's President Director, Tony Wenas, stated that the development is planned to take place over the next seven to eight years. This mine will become the fourth mine operated by PTFI in the Grasberg area, following the Grasberg Block Cave, Deep Mill Level Zone (DMLZ), and Big Gossan.
"The development of Kucing Liar will require a capex of around US$500 million per year. This will be for the next seven to eight years," said Tony during a hearing with the Indonesian House of Representatives (DPR RI) in Jakarta on Thursday (March 13, 2025).
Tony explained that the production from Kucing Liar will replace the declining output from the DMLZ. This will help maintain a stable ore production of 240,000 tons per day.
The Kucing Liar mine is expected to begin production in 2027, with a production potential of up to 7 billion tons of copper and 6 million ounces of gold per year until 2041.
Currently, Freeport operates three mines: the Grasberg Block Cave, which produces about 140,000 tons of ore per day; the DMLZ, with about 70,000 tons per day; and Big Gossan, producing 7,000 tons per day.
Previously, Freeport Indonesia's Vice President of Underground Engineering, Anton Priatna, emphasized that the company is continuing development to increase copper and gold production through the Kucing Liar underground mine.
"Kucing Liar will start mining in 2028. It is targeted to reach 90,000 tons per day," Anton explained when interviewed in Tembagapura, quoted on Thursday (December 11, 2024).
Through this mine, Anton said, Freeport aims to achieve a concentrate ore production target of 220,000 to 230,000 tons per day.
"By 2029, production will increase through the Kucing Liar underground mine to 240,000 tons per day," he added.
