The coal mining company jointly owned by the Salim Group and the Bakrie Group, PT Bumi Resources Tbk. (BUMI), reported coal reserves of approximately 2.4 billion tons as of mid-2024, with an estimated resource potential reaching 6.81 billion tons.

These figures come from BUMI's subsidiaries, PT Kaltim Prima Coal (KPC), PT Arutmin Indonesia (Arutmin), and assets in Pendopo.

"Our total reserves are 2.4 billion tons, and with the current production level of 80 million tons annually, this reserve will last for a considerable period, offering significant potential for further development," said BUMI's VP of Investor Relations & Chief Economist, Achmad Reza Widjaja, during a webinar hosted by Indonesia Investment Education (IIE) on Saturday (August 24, 2024).

Specifically, KPC reported coal reserves of 721 million tons, while Arutmin recorded reserves of 327 million tons. Additionally, BUMI's assets in Pendopo are estimated to have reserves of around 1.3 billion tons.

Reza also mentioned that the company continues to conduct further exploration on several concessions currently held by BUMI's business entities.

"We are still conducting exploration studies to determine whether the economic value of the coal justifies its development," he said.

Earlier, BUMI reported an increase in net profit for S1 2024, despite a significant decline in revenue. According to the financial report, BUMI's net profit was recorded at USD 84.91 million (approximately IDR 1.38 trillion, using the JISDOR exchange rate of IDR 16,294 per USD).

This profit represents a 3.76% year-on-year (YoY) increase compared to S1 2023, which was USD 81.82 million (around IDR 1.33 trillion).

However, the company's revenue decreased by 32.76% YoY to USD 595.84 million (around IDR 9.70 trillion) in the first six months of 2024, compared to the same period last year, which was USD 886.27 million (approximately IDR 14.44 trillion).

In line with the revenue decline, BUMI's cost of goods sold also decreased by 30.3% to USD 542.1 million, compared to USD 777.61 million during the same period in 2023.

As a result, BUMI's gross profit dropped by 50.5% to USD 53.74 million, compared to USD 108.65 million in S1 2023. The company's cash and cash equivalents at the end of the period were recorded at USD 55.77 million, down from USD 87.21 million in the same period the previous year.

According to the balance sheet, BUMI's total assets were recorded at USD 4.21 billion at the end of June 2024, compared to USD 4.20 billion at the end of December 2023.

The company's liabilities amounted to USD 1.34 billion, down from USD 1.42 billion at the end of 2023. Meanwhile, BUMI's equity stood at USD 2.86 billion, compared to USD 2.77 billion at the end of 2023.