BRMS Obtains IDR 8 Trillion Financing to Accelerate Gold Mining in Palu and Copper Exploration in Gorontalo
Sat 16 Aug 2025, 03:48 AM
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PT Bumi Resources Mineral Tbk (BRMS) will soon announce a massive funding facility worth approximately USD 500 million, equivalent to IDR 8 trillion (assuming IDR 16,000 per US dollar). The fresh funds will come from a banking consortium likely involving Bangkok Bank, Bank Permata, and BCA.
This was conveyed by BRMS Director, Herwin Wahyu Hidayat, at the Reliance Securities issuer corner event held online on Wednesday (13/8/2025).
"We'll make an announcement at the end of this month, early next month. We'll likely receive funding, around USD 500 million. That'll be from a consortium. Well, the group can probably guess, but it won't be far off, probably Bangkok Bank, Bank Permata, BCA, and others," said Herwin.
Herwin explained that the majority of the funds will be used for two main projects. Approximately USD 200 million will be allocated to complete the underground gold mine in Palu, Central Sulawesi, by 2027. This mine is targeted to operate with a higher gold content, reaching 4.9 grams per ton. In addition, the funds will be used to increase the plant's capacity from 500 tons of ore per day to 2,000 tons.
Meanwhile, approximately USD 100 million will be allocated for extensive drilling in Gorontalo. This program aims to expand copper reserves and determine the mineral's specific type.
"We want to determine whether the copper here is porphyry-type, like what Freeport and Amman have - which is extraordinary. So far, we've only done two or three drill holes, but every time we drill, we hit mineralization. It's remarkable," he added.
Herwin stated that exploration results in Gorontalo have been very promising so far. Management and shareholders are said to be enthusiastic about the mineralization findings that continue to emerge at each drilling point. "The commitment is extraordinary. Our target is to continue drilling for the next two years. Only then will we announce the copper reserves under the JORC scheme. That's also good for the market," he added.
Additionally, approximately USD 80 million will be used to continue exploration at BRMS's smaller projects in Aceh and Banten. The remaining USD 100 million to USD 120 million will be used to refinance BRMS's USD 120 million loan to Bank Mega.
The loan from Bank Mega was previously used as a bridging loan to initiate the underground mining project, including portal construction, heavy equipment procurement, and tunneling. However, the project's completion required additional funding, which is now being secured through a new loan syndicate.
"So, of the USD 500 million, USD 120 million will be for refinancing Bank Mega, USD 200 million for completing the underground gold mine in Palu, USD 100 million for drilling in Gorontalo, and the remaining USD 80 million for exploration in Banten and Aceh," Herwin explained.
He emphasized that this large loan will have a positive impact on the company. In addition to ensuring the Palu gold mine will be ready for operation in 2027, BRMS will also soon announce drilling results and additional JORC-compliant copper reserves to the market.
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