President Joko Widodo (Jokowi) asked mining companies to implement good mining practices and fulfill sustainability aspects, such as what was done by PT Vale Indonesia Tbk (INCO) in Sorowako, South Sulawesi. Thursday (30/3), Jokowi visited a number of Vale Indonesia facilities in Sorowako, namely the Kehati Park and the nickel ore mining area and the land rehabilitation reclamation area in Solia Hill.Jokowi positively assessed the efforts made by Vale Indonesia at Taman Kehati, which is an integrated facility with a nursery, seed preparation and arboretum. Here INCO also provides education to children about the importance of the environment. "I immediately ordered all mining companies in Indonesia to copy, imitate what Vale Indonesia did," Jokowi said in a press conference at the Sawerigading Wallacea Kehati Park, Thursday (30/3). Jokowi said that this good mining practice could be implemented by other companies in the form of regulations by preparing the rules of the game, especially rehabilitation and reclamation. “All mining companies carry out reclamation with good international and environmental standards. I don't think it's difficult. It's just want or don't want. And I will force you to comply with the rules. And it's not expensive," said Jokowi.Jokowi emphasized that for companies that implement mining that is not good, it needs to be corrected and everything will be evaluated. He sees Indonesia's current weakness in field control management. “This is what we want to strengthen, so everyone has to do it. this is not a difficult thing after I saw it on the field, “he said.Source: https://industri.kontan.co.id/news/jokowi-minta-perusahaan-tambang-tiru-praktik-good-mining-practice-vale-indonesia

The BUMN mining holding, PT Mineral Industri Indonesia (Persero) or MIND ID, recently injected capital into PT Timah (Persero) Tbk (TINS) through a share investment. Based on the disclosure of information on the Indonesia Stock Exchange (IDX), the share investment transaction by MIND ID in TINS took place on March 21, 2023. MIND ID bought 4,841,053,951 Series B shares of the tin producer previously owned by PT Indonesia Asahan Aluminum (Persero) at a price of Rp 1,828.57 per share. Thus, the transaction value of the investment in shares by MIND ID reached IDR 8.85 trillion.The composition of TINS shareholders has also changed. Prior to March 21, 2023, 65% of TINS shares or the equivalent of 4.84 million shares were held by Inalum while the remaining 35% or the equivalent of 2.61 million shares were held by the community or the public. After March 21, 2023, MIND ID officially controls 65% of TINS shares, while the rest is still owned by the public. "The Government of the Republic of Indonesia has included capital in the form of equity participation in PT Mineral Industri Indonesia, a State-Owned Enterprise whose aim is to function as a strategic holding company for mining-related businesses," wrote MIND ID Main Director Hendi Prio Santoso. in the disclosure of information, Tuesday (28/3).In previous news, MIND ID is undergoing a transformation and splitting off after previously being named Inalum. Since 2017, MIND ID has carried out two corporate functions, namely as a holding and aluminum smelting operation. With this transformation, MIND ID will focus more on strategic holding companies. In this case, MIND ID focuses on increasing the effectiveness of strategic activities and focuses on efficiency and increasing added value between holding members, managing risk management, supervising the operational activities of holding members, and so on. Meanwhile, TINS as a member of MIND ID experienced a 14.29% year on year (YoY) revenue decline to IDR 12.5 trillion in 2022. TINS's net profit also eroded 20% YoY to IDR 1.04 trillion.Source: https://industri.kontan.co.id/news/mind-id-tambah-modal-untuk-timah-tins-sebanyak-rp-885-triliun

PT Bumi Resources Tbk (BUMI) scored a net profit of USD 1.16 billion, sporting a 138% year-on-year (yoy) increment  from USD 488.6 million in 2021. Reaching said number was made possible by 80% surge in coals sales in the global market. Dileep Srivastava, Director of Bumi Resourves, revealed that the revenue was recorded at USD 8.53 billion, 57% yoy higher than USD 5.41 billion, whereas its gross profit grew 74% yoy to USD 2.40 billion from USD 1.38 billion.“The sales volume was 69.4 metric tons (MT), decreasing 12% yoy from 79 MT in 2021. The realisation of coal price, however, rose to USD 121 per ton from the initial USD 67.4 per ton,” Srivastava further added in the information disclosure quoted today (29/3). The operating profit shifted up 86% yoy to USD 2.06 billion from USD 1.11 billion. The profit margin was approximately 24.2% from the previous 20.5%, and the profit attributable to the parent entity reached USD 525.3 million, soaring 213% yoy or USD 357.3 million higher than USD 168 million in 2021. The volume of coals in mines was reportedly declining as well to 71.9 MT from the initial 78.8 MT, because yearlong rain (La Nina). (LK/ZH)Source: https://www.idnfinancials.com/news/46448/victorious-bumi-recorded-shift-profit

Deputy for Strategic Downstreaming at the Ministry of Investment/BKPM Heldy Satrya Putera revealed that Indonesia is aiming to be named as the world's top two stainless steel producing countries and the world's top five EV (electric vehicle) battery producing countries through nickel downstreaming. In the webinar "Strategy for Reaching the 2023 Investment Target by Encouraging Downstream Production" which was monitored online in Jakarta, Wednesday, Heldy said nickel downstream was prioritized for two industries, namely stainless steel and the electric vehicle battery raw material industry."The priority for nickel is how to make stainless steel and batteries (EV). We have calculated how much added value is generated, how much global demand there is, investment needs, impact on GDP, employment and exports that can be increased," he said. In the presentation material he presented, it was noted that for the stainless steel industry, the government is aiming for added value of up to 9.5 times with global demand in 2045 reaching up to 365 billion US dollars. Meanwhile for the EV battery industry, the added value is estimated to reach 67 times with a potential global demand of US$5.91 trillion. On the other hand, nickel downstream for the two sectors until 20240 has a potential investment value of up to US$127.9 billion, contributes to US$43.2 billion to GDP, absorbs 357 thousand workers, and exports potential of up to US$81 billion. Heldy explained that high added value from downstream was one of the main considerations for the government to encourage nickel downstreaming. Another consideration is that nickel commodity itself is one of Indonesia's main leading commodities. In fact, as many have mentioned, Indonesia has the largest nickel reserves in the world which can actually be utilized domestically.Apart from that, very promising demand in the future is considered to be another consideration to continue to support the downstream mineral commodity. Heldy explained that the nickel downstream that had been carried out had had a significant impact on the achievement of investment realization in recent years. He explained that investment realization in the base metal and metal goods industry has continued to increase after the ban on exports and downstream nickel was implemented. On the export side, downstream nickel has succeeded in boosting national export performance from only US$3 billion in 2017 to US$29 billion in 2022 for exports of nickel downstream products. "Now it is over US$30 billion, meaning that our exports have increased more than 10 times from downstream business results," he said.Source: https://www.antaranews.com/berita/3461859/ri-mau-jadi-produsen-stainless-steel-dan-baterai-ev-dari-hilirisasi

PT Freeport Indonesia will start processing anode mud after its precious metal refinery (PMR) facility operates in 2025. The anode mud purification facility is integrated with Freeport's copper concentrate smelter which is being built in the JIIPE Special Economic Zone (KEK), Gresik, East Java. "The PMR capacity is 6,000 tons per year and will process anode sludge from [smelter] PT Smelting and those at JIIPE," said Technical Affairs & Smelter Project Support Manager Erika Silva during a visit to the Manyar Smelter at JIIPE, Gresik, East Java, Wednesday (29 /3/2023). Anode mud is a by-product produced by the Freeport copper concentrate smelter.So far, said Erika, anode mud from Freeport's first smelter managed by PT Smelting was exported to Japan because there were no cleaning facilities in Indonesia yet. He explained that anode mud is a concentrate with a fairly high gold content. When purified, anode mud can produce a number of products, including gold, silver, platinum, and others. "So far, anode mud has been exported, but in 2025 it will be processed here and refined into gold bars," said Erika. He explained, with an anode mud capacity of 6,000 tons per year, PMR Freeport would be able to produce 52 tons of gold and 210 tons of silver per year. It also produces 0.03 tons of platinum, 0.375 tons of palladium, 285 tons of selenium, 220 tons of bismuth and 2,200 tons of lead per year. Meanwhile, for gold production, Freeport is exploring potential buyers from within the country.Source: https://ekonomi.bisnis.com/read/20230329/44/1641935/freeport-bakal-olah-lumpur-anoda-dalam-negeri-hasilkan-52-ton-emas-per-tahun

South Africa-based blasting and explosive solutions specialist BME has taken another significant step in its globalisation strategy through the recent signing of a joint venture (JV) with a leading Indonesian player. The mining subsidiary of Omnia Holdings, BME has signed a Conditional Sale and Purchase of Shares Agreement with PT Multi Nitrotama Kimia (MNK), an Indonesian market leader in the provision of explosives and blasting services . The JV – called PT Kemitraan MNK BME – combines BME’s innovative technology, products, and solutions with MNK’s local networks, experience, and resources. The JV creates an integrated offering with an expanded suite of products and services for both surface and underground mines. According to Ralf Hennecke, Managing Director of BME, the JV marks a step change in BME’s international growth. It will allow a broadening of its business base to include MNK’s current contracts, which will be ceded to the JV in a phased manner.  “BME will have faster access to market, greater diversification and will be well positioned for the future as a major player in the growing Indonesian and Asian markets,” said Hennecke.  BME Business Manager in Indonesia, Agusman Agusman, highlighted that the synergies between BME and MNK positioned the companies well to grow market share together. BME’s innovations have included its AXXIS electronic initiation system and other digital blasting tools, its range of specialised emulsion explosives, and the incorporation of used oil as a fuel agent in its emulsions. For its part, MNK has strong relationships with the country’s major miners, and a track record of over 30 years as an established ammonium nitrate manufacturer. “We have been actively supplying explosive products and accessories into Indonesia for more than a decade and began partnering with MNK in 2019 on a large mining project,” said Agusman. “This has been a very successful collaboration, leading to us commissioning our first mobile manufacturing units (MMUs) and emulsion plant outside of Africa.”On this project, he noted, BME became the first multinational mining supplier to receive a good mining practice award (UTAMA) in the blasting services category by the Indonesian government. It was this kind of recognition that helped pave the way to the JV with MNK, he explained, and which showed the future potential of the venture.  “Bringing world class technology such as our Blast Alliance suite of digital solutions, as well as our MMUs, emulsion plant and other developments, we are looking forward to sharing knowledge and skills in Indonesia,” he said. The JV is expected to have a positive impact on local employment through job creation, with the partners focused on the highest standards of safety and operational excellence. The joint venture  is in line with the global expansion strategy of Omnia Holdings, said Seelan Gobalsamy, Group Chief Executive Officer of Omnia Holdings. “This marks the further execution of our strategy to seek growth in new markets through acquisitions and partnerships,” said Gobalsamy. According to President Director of MNK, Ratno Paskalis Hendrawan, MNK is in a strong position for growth as the leading provider of mining explosives and blasting services company in Indonesia.  “Culturally we are confident that both companies are a good fit, having developed a sound relationship during the establishment of contracted blasting services,” said Hendrawan. “We are excited to extend the partnership and expect that there will be a transfer of knowledge and technology, which in turn will enhance the capabilities of the blasting services team, to reach a wider customer base and increase value to all stakeholders.” Agusman said that Indonesia had a bright future as a mining country, creating an exciting platform for growth for the JV. Minerals which are likely to be in demand for several decades to come, as gold, copper, aluminium, nickel, tin, bauxite and coal, provide a good base for the venture.Source: https://im-mining.com/2023/03/29/explosives-major-bme-forms-jv-with-indonesias-mnk/

PT Freeport (PTFI) increased its share ownership in PT Smelting to 65 percent. This was conveyed by the Main Director of PTFI Tony Wenas, in a joint meeting with Commission VII DPR RI at the DPR Building, Monday (27/3/2023). Tony said that the additional share portion in PT Smelting was the company's effort to obtain a Special Mining Business Permit or IUPK located at the Freeport Papua Mine. Initially, Freeport's share in PT Smelting was only 39.5 percent. The mechanism for increasing the share portion is carried out through an investment of US$250 million which is equivalent to Rp.3.7 trillion (exchange rate of Rp.15,183 per US dollar). With this investment, it is expected that copper smelting capacity can be carried out to 1.3 million tons per year, an increase compared to the previous 300,000 tons."We asked PT Smelting to expand to fulfill its IUPK obligations. With (investment) US$250 million, Freeport's shares in PT Smelting, which are currently 39.5 percent, will increase to 65 percent after the expansion is complete," said Tony Wenas. For information, PT Smelting is a smelter company that processes pure copper. After the agreement is completed, the two plan to develop a new business scheme in 2024. The agreement is carried out by carrying out marketing and product contracts, which include anode mud, sulfuric acid, copper scale, to copper telluride. Tony said, during the transition period, the entire trading process and sales contracts would be carried out by PT Smelting, through PT Freeport. "We are the (majority) shareholders who control PTFI, and this is the progress of PT Smelting's divestment or expansion," continued Tony.Source: https://money.kompas.com/read/2023/03/28/104200226/freeport-tambah-porsi-saham-di-pt-smelting-jadi-65-persen

PT Hengjaya Mineralindo has won a Proper green rating for 2021-2022 in Central Sulawesi Province (Central Sulawesi). Proper (Company Performance Rating Rating Program in Environmental Management) is a form of government policy to improve the company's environmental management performance in accordance with what has been stipulated in laws and regulations. The Proper award is given to companies that demonstrate compliance with environmental management laws and regulations.This award night event took place at Hotel Santika, Jalan Moh Hatta No 18, Lolu Utara Village, East Palu District, Palu City, Monday (27/2/2023) evening. The 2021-2022 Proper was attended by 31 companies, including 22 companies in the energy and oil and gas mining sector, and 9 agro-industry companies. The proper award is given in several categories Gold, Green, Blue and Red. The Head of Mining Engineering (KTT) PT Hengjaya Mineralindo M Ilham said, he was very grateful to be the only nickel mining company that had won an award in the green category. "Hengjaya Mineralindo is very grateful for being the only nickel mining company to receive the green category," said M Ilham. M Ilham added, by obtaining green proper, the Hengjaya Mineralindo company is increasingly motivated in managing the environment in a sustainable manner. The Hengjaya Mineralindo Company strives to increase its achievements to a gold rating.Source: https://palu.tribunnews.com/2023/02/28/pt-hengjaya-mineralindo-jadi-satu-satunya-perusahaan-nikel-yang-raih-proper-hijau-dari-dlh-sulteng

PT Amman Mineral Nusa Tenggara (AMNT) targets copper concentrate production to reach 1.1 million wet metric tons (wmt) in the 2023 Work Plan and Budget (RKAB). AMNT Vice President Corporate Communications Kartika Octaviana said that the production plan had received approval from the Ministry of Energy and Mineral Resources (ESDM). This year's production plan is up 10.97 percent compared to last year's position which was set at 994,209 wmt. Meanwhile, the government signed the agreement to increase production in line with the decision to ban metal mineral exports in June 2023."The approved 2023 concentrate production is 1,103,355 wmt, there is an increase in production which is in accordance with the mine schedule," said Kartika when contacted, Monday (27/3/2023). Meanwhile, the progress of the construction of AMNT's smelter until January 2023 has reached 51.63 percent. The project has absorbed a cost of more than US$507.53 million from a total planned investment of US$982.99 million.AMNT President Director Rachmat Makkasau said the development of the smelter construction proved the company's commitment to completing one of the current national strategic projects (PSN) in the mineral mining sector. This calculation is in accordance with the realization of budget absorption for smelter construction, which includes physical construction and also the purchase of equipment and machinery for operations. "The company continues to work with our business partners to complete the smelter project as soon as possible. Fabrication equipment has started to arrive in early March and equipment installation has begun," said Rachmat. He estimates that the commissioning of the smelter will be carried out in July 2024 and operate at 60 percent capacity in December 2024. Intensive communication with the government to find the best solution to deal with various challenges over the past 3 years has also been continuously carried out by the company. As previously reported, AMNT and PT Macmahon Indonesia have agreed to work together to work on the Batu Hijau mine Phase 8. Seeing the success of the Batu Hijau mining contract and the bright prospects for copper and gold prices, AMNT decided to expand the Batu Hijau mine by opening a pit known as Phase 8. The opening of the Phase 8 pit is expected to extend the mine period to June 2028 in accordance with the mine life stipulated in the AMNT and Macmahon Indonesia contracts. Macmahon Managing Director and CEO Michael Finnegan said, with the new cooperation agreement, Macmahon Indonesia will acquire certain heavy equipment from AMNT with a value of US$35 million or around Rp.525 billion (estimated exchange rate of Rp.15,000 per US dollar), to carry out pit work. Phase 8 and as collateral for third party investors. From this transaction, Macmahon Indonesia will receive a monthly return on investment (ROI) on the cost of capital of 15 percent. In addition, Macmahon Indonesia will also have the opportunity to obtain KPI fees of up to US$5.1 million per six months based on overall project performance. "Furthermore, the continuation of this transaction will require approval from Macmahon shareholders considering AMNT is a substantial shareholder of Macmahon Indonesia," said Finnegan in an official statement, Monday (20/2/2023). For 2023, Macmahon targets revenues to reach around US$1.85 billion - US$1.95 billion, from the previous US$1.6 billion - US$1.7 billion from the Batu Hijau Phase 7 contract cooperation. Meanwhile, the profit before interest target, taxes, and amortization (EBITA) remained in the range of US$105 million - US$125 million. “We look forward to continuing our relationship with AMNT at the highly productive Batu Hijau operation and with a partner who values technology and ESG,” he added. The Batu Hijau mine started production and operations in 2000. Until 2020, Batu Hijau has produced around 8.78 billion pounds of copper and 8.7 million ounces of gold. For information, PT Medco Energi Internasional Tbk. (MEDC) through PT Amman Mineral Nusa Tenggara controlled a 44.3 percent stake in the Australian company Macmahon in 2017. In Indonesia, Macmahon is also the contractor for the Martabe gold mine in North Sumatra with a contract duration of 5 years from January 2016 from PT Agincourt Resources. Meanwhile in Australia, Macmahon became a contractor for a number of mines, including the Tropicana copper and gold mine, the Telfer gold mine and the St. Ives in Western Australia. In addition, Macmahon is also a contractor for the Byerwen coal mine in the Bowen Basin, Queensland Australia.Source: https://ekonomi.bisnis.com/read/20230327/44/1641076/amman-mineral-bidik-produksi-konsentrat-tembaga-11-juta-wmt-tahun-ini

PT United Tractors Tbk (UNTR) recorded an increase in sales of Komatsu heavy equipment during the first two months of 2023. UNTR sold 1,232 units of Komatsu heavy equipment in that period. This number rose 16.4% (YoY) from sales of heavy equipment in the same period the previous year of 1,058 units. Launching the monthly report, Saturday (25/3), the majority of Komatsu's sales were channeled to the mining sector, which reached 63%, followed by sales to the construction and forestry sectors each with 15%. Then, sales to the agribusiness sector amounted to 7%. Meanwhile, Komatsu's market share as of February 2023 is 34%.However, sales of Komatsu heavy equipment experienced a decline in the February 2023 period. Last month's sales were 546 units, a decrease of 20.40% from sales in the January 2023 period which reached 686 units. Just so you know, management projects that Komatsu sales this year will equal or be flat with the realization in 2022, which is in the range of 5,700 units. "This is based on the assumption of coal price movements. Currently it is still appropriate,” said United Tractors Corporate Secretary Sara K. Loebis.Source: https://industri.kontan.co.id/news/per-februari-2023-united-tractors-berhasil-jual-alat-berat-komatsu-1232-unit-1