AMMN Enters New Growth Cycle, Revenue Projected to Surge 117%
Thu 02 Jul 2026, 09:24 AM
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PT Amman Mineral Internasional Tbk (AMMN) is projected to enter a new growth cycle this year. This follows the conclusion of the operational transition period throughout 2025, opening the way for stronger performance growth.
According to BRI Danareksa Sekuritas' latest research published on June 29, 2026, AMMN is at the beginning of a new growth cycle, supported by increased production from the Batu Hijau Phase 8 mine and contributions from its downstream business, which has begun producing higher value-added metal products.
"AMMN is entering a significant earnings growth cycle in 2026 after completing the Batu Hijau Phase 8 development transition," BRI Danareksa Sekuritas analyst Andhika Audrey Eko Nugroho said in the report, as quoted on Thursday (July 2, 2026).
Andhika explained that signs of the recovery were evident in the first quarter of 2026, when fresh ore mined increased to 38 million tonnes, compared with around 1 million tonnes in the same period a year earlier.
This drove concentrate production to 167.8 thousand dry metric tonnes (dmt), up 110 percent year-on-year. The output contained around 101 million pounds of copper and 136 thousand ounces of gold.
As a result, he said, the recovery in Batu Hijau production is expected to be one of the main drivers of AMMN's performance growth throughout 2026. The company's revenue is projected to reach around USD 4 billion this year, up 117 percent from the previous year, while EBITDA is forecast to grow 97 percent to around USD 2 billion.
"Besides the recovery in mining production, business transformation through downstream processing is considered an important factor that will improve the quality of AMMN's earnings over the long term," he said.
In the first quarter of 2026, AMMN's smelter and Precious Metal Refinery (PMR) facilities produced around 27.7 thousand tonnes of copper cathodes and 66.2 thousand ounces of refined gold.
According to him, AMMN is now transforming from a company that previously sold concentrate into an integrated metals producer manufacturing end products in the form of copper cathodes and refined gold that meet international standards. This transformation is considered to generate higher added value while strengthening the company's resilience against changes in the global mining industry.
Starting in the second quarter of 2026, following the expiry of its concentrate export permit in April 2026, AMMN's performance is expected to be driven by sales of copper cathodes and refined gold.
Furthermore, Andhika said, BRI Danareksa also highlighted the company's new processing facility project, which is currently in the final stage of construction. The facility is scheduled to receive its first ore in the second half of this year and will increase processing capacity from around 40 million tonnes per year to around 85 million tonnes per year.
"The increase in capacity is expected to support production volume growth over the next several years, both to sustain Batu Hijau operations and the development of the Elang project as the company's long-term growth driver," he said.
Over the medium term, he said, copper cathode production is projected to continue increasing in line with higher smelter utilisation, while refined gold production is also expected to grow significantly as the PMR reaches optimal operations.
Beyond the company's internal factors, BRI Danareksa believes the outlook for the global copper market remains highly attractive over the next several years.
Copper demand is now no longer dependent solely on the construction sector, but is increasingly driven by electrification trends, the development of artificial intelligence (AI)-based data centres, electric vehicles, and renewable energy infrastructure.
At the same time, global supply growth is considered to remain limited, leaving the copper market expected to stay in deficit in both the short and long term.
Meanwhile, gold prices are also being supported by strong demand from central banks around the world, which continue to increase their holdings of the precious metal as part of their foreign exchange reserve diversification strategies.
"With the combination of Batu Hijau's operational recovery, the growing contribution from downstream processing, the nearly completed expansion project, and the positive outlook for the company's main commodities, AMMN is considered to be in a strong position to enter its next phase of growth," he said.
BRI Danareksa Sekuritas initiated coverage of AMMN with a "Buy" recommendation and a target price of IDR 6,000 per share.
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