PT J Resources Asia Pasifik Tbk. (PSAB) aims to complete its Doup gold mine project by 2026. The project is estimated to require an investment of around US$400 million. J Resources' President Director, Edi Permadi, stated that the project's timeline has recently been revised to be completed within the next 24 months. The company has already spent US$70 million of its capital expenditure from internal cash reserves.

"With the significant recovery we are seeing, and the conservation efforts, we have revised the timeline to 24 months from now," Edi said after a public expose in Jakarta on Friday (December 13, 2024).

Nevertheless, Edi emphasized that the company is still working to ensure that the mine can begin commercial operations by the end of 2025. According to him, PSAB has completed land acquisition for most of the mining area.

As of October 2024, the Doup reserves are estimated at 38.2 million tons with a grade of 1.28 grams per ton, amounting to approximately 1.6 million ounces of gold. 

Meanwhile, the plant design is expected to reach a capacity of 3 million tons per year with Gravity-Flotation-POX-CIL, with a mine life of 14 years and a stripping ratio of 4.3:1.

With that processing technology, PSAB targets gold recovery to be in the range of 91%, and annual production to reach between 140,000 and 195,000 ounces per year. 

Once the project is in commercial operation, PSAB is expected to generate additional revenue of around US$3 billion, assuming gold prices continue to strengthen. 

On the other hand, Edi is confident that the project will receive financial support from banks or other financial institutions. He argues that the Doup project has competitive reserves. 

"We are quite confident with the improved recovery, as it is very attractive," he said.

Previously, PSAB achieved a positive profit of US$4.45 million by the end of September 2024. This was a turnaround from the same period last year when the company had posted a loss of USD 13.40 million. 

The key driver of the profit was the strong sales performance, which grew faster than the cost of goods sold. PSAB reported sales of USD 173.86 million, an 86.79% increase year-on-year (YoY).

PSAB's gold and silver sales were made to four parties: Metalor Technologies Singapore Pte., Ltd; PT Aneka Tambang Tbk. (ANTM); Beijing Fuhaihua Import and Export Corp Ltd; and Transamine Far East Limited. 

Sales of gold and silver to Metalor Technologies reached US$150 million, an increase of 81.29% YoY, accounting for 82.27% of the company’s total sales. 

Sales to ANTM also more than doubled, reaching US$15.82 million, up from USD 6.17 million, contributing 9.10% of PSAB’s total sales.

PSAB reported cash at the end of September 2024 of USD 14.94 million, up 154.74% YoY from USD 5.86 million. 

The total assets of the company, owned by Jimmy Budiarto, were recorded at USD 878.54 million in September 2024, a slight increase of 2.33% compared to the end of 2023. 

Liabilities also rose slightly by 1.5%, to USD 482.68 million, while equity was recorded at USD 395.85 million, a 3.37% increase from the end of 2023.