Astra Group entity in the mining sector, PT United Tractors Tbk. (UNTR), hoisted its gold production target in 2024 compared to the previous year.

United Tractors Corporate Secretary Sara K. Loebis said UNTR has a gold sales target of 235,000 ounces throughout 2024. This target is higher than 2023, which is estimated at 175,000 ounces.

"Higher than in 2023, which is estimated to be 175,000 oz, but not final," he told Bisnis on Tuesday (1/16/2024).

UNTR's gold business performance tended to decline last year. UNTR's gold mining business unit, run by PT Agincourt Resources, will decline in the 11-month period of 2023.

Agincourt recorded that total gold equivalent sales from the Martabe gold mine decreased 36.82% yoy to 166,468 troy ounces as of November 2023, compared to the same period in 2022 of 263,492 troy ounces.

Sara K. Loebis said that throughout 2024, UNTR will allocate capital expenditure of IDR 1.8 trillion for the development of gold business lines. The funds will be used for exploration activities and improvement of mining facilities throughout 2024.

"Capex is for exploration and improvement of mining facilities. There are no plans for the acquisition of gold mines," Sara said

UNTR currently has two gold mines in operation, the Martabe Mine in North Sumatra and Sumbawa Jutaraya (SJR) in Sumbawa.

In the previous Business report, United Tractors Director Edhie Sarwono said that in early 2024, UNTR Group will start gold mining operations through PT Sumbawa Juta Raya (SJR). Production capacity is expected to reach 40,000 troy ounces per year.

"Next year's SJR gold mine will start operating, predicted in the second half of 2024. The initial production capacity is 40,000 troy ounces, and is expected to be optimal at 65,000 troy ounces per year in 2025," he explained at the Astra Tower, Wednesday (7/6/2023).

According to him, SJR's gold production rate will stabilize in the range of 65,000 troy ounces in 10 years, calculating the total reserves that exist today.

Meanwhile, at the Martabe gold mine, UNTR conducts mining through PT Agincourt Resources. By 2023, it is estimated that production and sales volumes will reach 240,000 troy ounces.

Image source: Bloomberg-Dadang Tri

Source: www.market.bisnis.com/United Tractors (UNTR) Kerek Target Produksi Emas pada 2024