Merdeka Copper (MDKA) Reports 67% Progress on Pani Gold Project
Tue 12 Aug 2025, 02:15 AM
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PT Merdeka Copper Gold Tbk. (MDKA) reported that the construction of the Pani gold project in Gorontalo is now entering the final stages, leading to commissioning. Initial production is targeted for the first quarter of 2026.
Based on the April-June 2025 quarterly activity report, the Pani project completion had reached 67% by the end of June 2025. Management stated that all detailed engineering and procurement processes had been completed.
"Meanwhile, contractors on site are currently starting to install processing and electrical infrastructure," MDKA management stated in its report quoted on Tuesday (12/8/2025).
Furthermore, port facilities to support logistics are already operational. Construction of fuel storage tanks has also been completed to ensure energy supply readiness for the operational phase.
MDKA confirmed that the commissioning process remains on schedule and is targeted to begin in late 2025. After that, the company will begin production ramp-up, targeting initial gold production in the first quarter of 2026.
According to the company's official website, Pani is one of the largest gold development projects in Indonesia and is designed to expand gradually to maintain stable production growth.
The initial phase will utilize the heap leach method, before transitioning to carbon-in-leach (CIL) processing. At peak production, the mine is expected to produce up to 500,000 ounces of gold per year. In addition, the company reported that gold production from the Tujuh Bukit mine (TB Gold) reached 25,143 ounces with a cash cost of USD 1,320 per ounce and an all -in sustaining cost ( AISC) of USD 1,972 per ounce.
Management noted an average selling price of USD 3,207 per ounce, reflecting a 64% year- on-year (YoY) increase in cash margin.
In the copper sector, the Wetar mine produced 1,854 tonnes at a cash cost of USD 3.35 per pound and an AISC of USD 4.75 per pound. Production is projected to increase in the second half of 2025 as a new stacking strategy is implemented.
On the nickel side, PT Merdeka Battery Materials Tbk. (MBMA) recorded a surge in output from the Sulawesi Cahaya Mineral (SCM) mine, with saprolite production growing 187% year-on-year and limonite increasing 39%. Nickel pig iron (NPI) margins expanded as a result of vertical integration and cost efficiencies.
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