Government Revokes New RKEF Nickel Smelter Tax Holiday
Government Revokes New RKEF Nickel Smelter Tax Holiday
08 May 2023, 12:00 PM 6146

The government emphasized that it would revoke the tax holiday facility for new investment in the construction of a rotary kiln-electric furnace (RKEF) pyrometallurgical plant. It is planned that the revocation policy will be carried out in the near future in line with the government's commitment to stop the already intensive rate of investment in the high grade nickel ore or saprolite processing plant. "Right now there are lots of smelters in Indonesia of all kinds, so in my opinion it can no longer be categorized as a pioneer industry so there is no need to give a tax holiday, but this only applies to new ones," said the Deputy for Investment and Mining at the Coordinating Ministry for Maritime Affairs and Fisheries, Septian Hario Seto to Business, Sunday (7/5/2023).Processing with RKEF technology generally produces second class nickel processed products in the form of nickel pig iron (NPI) and ferronickel (FeNi) which are then made into stainless steel. Nevertheless, Seto stressed, this policy only applies to new investments in the next high grade nickel ore processing smelter. Thus, investments that have previously received tax holiday facilities can still enjoy the tax write-off until the later utilization deadline. "It's impossible for the government to revoke the [tax holiday], that's a parable from the point of view of investment certainty, it's important, yes, they can get it until the tax holiday period expires," he said.Source: https://ekonomi.bisnis.com/read/20230508/44/1653549/pemerintah-cabut-tax-holiday-smelter-nikel-rkef-baru

Merdeka Battery (MBMA) Acquires 60% of This Company's Shares
Merdeka Battery (MBMA) Acquires 60% of This Company's Shares
08 May 2023, 12:00 PM 6983

PT Merdeka Battery Materials Tbk (MBMA) announced that it has entered into a conditional agreement to acquire a 60% interest in PT Huaneng Metal Industry (HNMI), a high grade nickel matte conversion facility located within the Indonesia Morowali Industrial Park (IMIP). HNMI was built and commissioned by Eternal Tsingshan Group Limited (Tsingshan) and has been in stable production since 2022. HNMI processes low grade matte nickel (LGNM) produced by the RKEF smelter, reducing the iron content, to produce HGNM containing more than 70% nickel."Total consideration for the proposed acquisition is approximately US$ 75 million for MBMA to hold a 60% stake in HNMI, with the Tsingshan subsidiary holding the remaining 40%," explained MBMA's management in an official statement, Monday (8/5/2023). According to them, the acquisition will enable MBMA to transition RKEF's larger asset base to class 1 nickel production and unlock value. The Proposed Acquisition is targeted for completion in mid-2023, subject to completing the usual terms for such a transaction.As is known, Merdeka Battery just listed its shares on the Indonesia Stock Exchange (IDX) on April 18, 2023. Previously, MBMA had completed its initial public offering (IPO) with an exercise price of IDR 795 per share. The total shares released through the IPO were 11,549,999,900 new shares. MBMA raised funds of around IDR 9.2 trillion.Source: https://investor.id/market/328838/merdeka-battery-mbma-akuisisi-60-saham-perusahaan-ini

Adaro Energy (ADRO) Has Absorbed Capex USD 132 Million Q1 of 2023
Adaro Energy (ADRO) Has Absorbed Capex USD 132 Million Q1 of 2023
07 May 2023, 12:00 PM 5700

The absorption of PT Adaro Energy Indonesia Tbk's (ADRO) capital expenditure (capex) in the first quarter of 2023 reached US$ 132 million. This capex absorption rose 87% from capital expenditure in the first quarter of 2022 of US$ 70 million. Febriati Nadira, Adaro Energy's Head of Corporate Communication, detailed that capex spending in this period was mainly used for the construction of an aluminum smelter of US$ 15 million, ordering ships of US$ 31 million, and purchasing and overhauling heavy equipment of US$ US$ 48 million. ADRO has allocated capital expenditure (capex) of US$ 400 million to US$ 600 million for this year.Meanwhile, ADRO's subsidiary, namely PT Adaro Minerals Indonesia Tbk (ADMR) spent US$ 21.6 million for capital expenditure in the first quarter of 2023, a significant increase compared to capex absorption in the first quarter of 2022 which was only US$ 0.28 million. The capex absorption was mainly related to the infrastructure project at PT Maruwai Coal and the construction of an aluminum smelter under PT Kalimantan Aluminum Industry (KAI), a subsidiary of ADMR.ADRO's production and sales volume in the first quarter of 2023 rose 29% to 15.69 million tons and 15.72 million tons respectively. In comparison, production and sales volumes in the first quarter of 2022 were only 12.15 million tonnes and 12.20 million tonnes respectively. Thermal coal products with medium calorific value account for 70% of total sales in the period from January to March 2023. Sales of ADMR metallurgical coal also recorded a significant increase of 44% to 0.85 million tons from the previous 0.59 million tons in the first quarter of 2022.This coal mining issuer posted a net profit of US$ 458.04 million during the first quarter of 2023, up 14.5% year-on-year (YoY). As a comparison, ADRO's net profit in the same period last year was US$ 400.07 million. This made ADRO's net profit per share increase to US$ 0.01478 from the previous US$ 0.01282. The increase in ADRO's net profit was in line with the increase in revenue. The issuer chaired by Garibaldi Thohir posted net income of US$ 1.83 billion, up 50% from revenue in the same period in 2022 of US$ 1.22 billion.Source: https://industri.kontan.co.id/news/adaro-energy-adro-sudah-menyerap-capex-us-132-juta-di-kuartal-i-2023

PTBA diversified business to world-class energy and chemical companies
PTBA diversified business to world-class energy and chemical companies
04 May 2023, 12:00 PM 5571

PT Bukit Asam Tbk (PTBA), a member of the mining BUMN holding MIND ID, is diversifying its business by entering into new, renewable energy (EBT) to become an integrated and sustainable world-class energy and chemical company. "One of them is by entering the new renewable energy (EBT) business along with technological developments, EBT will be more efficient. This is an opportunity that needs to be managed carefully by paying attention to PTBA's existing resources. This step is also in line with the government's target of achieving Net Zero Emissions in 2060 or sooner," said PTBA Main Director Arsal Ismail in his statement in Palembang, Thursday.He said that on April 17, 2023, PTBA agreed on a Memorandum of Understanding (MoU) with HDF Energy, which is a company engaged in the supply of renewable energy, one of which is hydrogen fuel. HDF Energy and PTBA are exploring cooperation in the development of large-scale hydrogen fuel infrastructure. in PTBA's operational areas as an effort to reduce carbon emissions. "This infrastructure can provide stable and sustainable green energy, which is needed for PTBA's own operations or for sale to the market," said Arsal.The concrete form of PTBA's support in efforts to reduce global carbon emissions is also marked by the synergy with PT Jasa Marga (Persero) Tbk in the development of a Solar Power Plant (PLTS) with a capacity of 400 Kilowatt-peak (kWp) on the Jasa Marga Group toll road. The construction of the Bali Mandara Toll Road PLTS, which was inaugurated on September 21, 2022, is going very well, resulting in positive benefits in the form of energy efficiency and operational costs, and of course helping to support Indonesia's G20 Presidency in November 2022, one of which focuses on the issue of energy transition.Previously, PTBA had built a PLTS at Soekarno Hatta Airport in collaboration with PT Angkasa Pura II (Persero). The PLTS consists of 720 solar panel systems with photovoltaics with a maximum capacity of 241 kWp and is installed in the Airport Operation Control Center (AOCC) Building. This PLTS has been fully operational since October 1, 2020. After the success in developing PLTS on the Bali Mandara Toll Road and Soekarno Hatta Airport, on February 24 2023, PT Bukit Asam Tbk and PT Jasa Marga (Persero) Tbk signed an extension of the Memorandum of Understanding (MoU) for the Development of PLTS in other toll road areas which are under the management of the Jasa Marga Group.The extension of this MoU is a form of continuous SOE collaboration and synergy in supporting efforts to reduce global carbon emissions. In addition, PT Bukit Asam Tbk and PT Timah Tbk are exploring the potential for cooperation in the development of PLTS at Timah's operational locations as a form of synergy with MIND ID Holding Members. This collaboration was marked by the signing of the Renewable Energy Development Synergy MoU on January 26, 2023. PTBA through its subsidiary, PT Bukit Energi Investama (BEI) will build a PLTS to support PT Timah's operational activities. Electricity from the PLTS will be used for production operations (dredgers), lighting, and offices which are expected to contribute to reduced emissions and more efficient energy costs.PTBA is also exploring the potential for cooperation in the development of PLTS at the operational locations of the Semen Indonesia Group (SIG). This collaboration was marked by the signing of a Memorandum of Understanding (MoU) for the Development of New, Renewable Energy (EBT) for Solar Power Plants on October 18, 2022 which is planned to begin to meet PT Semen Padang's operational energy needs.In addition, PTBA has a number of ex-mining lands that can be utilized for PLTS development. Among them are post-mining lands in Ombilin in West Sumatra covering an area of 201 hectares (ha) and in Tanjung Enim covering an area of 224 hectares. The PLTS potential in each of these lands reaches 200 Megawatts (MW). There is also a Bantuas post-mining area of 30 ha in East Kalimantan with a potential of 30 MW. "These lands belong to the company, so there is no need for land acquisition. In this way, the investment costs for PLTS can be reduced so that the electricity produced can be competitive. The ex-mining lands are also productive. Not only beneficial for the environment, but also have economic value. ," he said.Not only PLTS, he said PTBA and China Huadian Corporation (CHD) through a Memorandum of Understanding (MoU) signed on October 18, 2022 explored the development of a Wind Power Plant (PLTB) with a capacity of around 1,300 MW in South China and other renewable energy developments in Indonesia. which is currently in the process of feasibility study. In addition to developing business in the EBT sector, PTBA is also running a PLTS development program to turn on agricultural irrigation pumpsSource: https://www.antaranews.com/berita/3520434/ptba-diverisifikasi-bisnis-perusahaan-energi-dan-kimia-kelas-dunia

Bumi Resources (BUMI) Profit increased 39.3% to USD 60.2 Million Q1 2023
Bumi Resources (BUMI) Profit increased 39.3% to USD 60.2 Million Q1 2023
03 May 2023, 12:00 PM 5713

PT Bumi Resources Tbk (BUMI) managed to record an increase in financial performance throughout the first quarter of 2023. This coal mining issuer posted profit for the period attributable to owners of the parent entity of US$ 60.2 million, up 39.3% from net profit in the same period the previous year of US$ 43.3 million. The increase in net profit was in line with the increase in revenue. Throughout the first quarter of 2023, BUMI recorded revenues of US$ 454.9 million, an increase of 30.0% from actual revenues in the first quarter of 2022 which was only US$ 349.9 million.However, it should be noted, this income is based on the income statement with PSAK66. Here, BUMI cannot consolidate Kaltim Prima Coal (KPC), but can only become the equity which is accounted for 51% owned by BUMI. BUMI also presents financial reports including KPC for the benefit of investors, so that it becomes a commensurate comparison with other coal companies. As a result, BUMI posted revenue of US$ 1.64 billion, up 19% from revenue in the same period the previous year of US$ 1.37 billion.From the operational side, Director and Corporate Secretary of Bumi Resources Dileep Srivastava said, during the first quarter of 2023, BUMI posted sales volume of 15.4 million tons of bricks, a decrease of 4% from sales in the same period last year of 16.0 million. In detail, KPC's sales were 10.7 million tons (up 3%) and Arutmin Indonesia's sales were 4.8 million tons (decreased by 15%). From the production side, the volume of coal mined in the first quarter of 2023 was 16.1 million tonnes, a 1.22% decrease from the previous 16.3 million tonnes in the first quarter last year. Fortunately, the actual price of coal in the first quarter of 2023 managed to rise 23% to US$ 103.7 per ton from the previous US$ 84.5 per ton in the previous year.Source: https://investasi.kontan.co.id/news/laba-bumi-resources-bumi-melesat-393-menjadi-us-602-juta-pada-kuartal-i-2023

ABM Investama (ABMM) Net Profit Increased 233%
ABM Investama (ABMM) Net Profit Increased 233%
03 May 2023, 12:00 PM 5857

PT ABM Investama Tbk (ABMM) recorded profit for the year attributable to owners of the parent entity of US$ 106.03 million in the first quarter of 2023, flying 233.55% from US$ 31.78 million in the same period last year. Basic earnings per share also jumped from US$ 0.01155 in the first quarter of 2022 to US$ 0.3851 as of the end of March this year.The financial report for the first quarter of 2023 revealed that the surge in net profit was supported by an increase in revenue from contracts with customers from US$ 286.7 million to US$ 387.86 million. Meanwhile, cost of revenue also rose to US$ 257.91 million from the previous US$ 185.62 million. Meanwhile, gross profit also increased from US$ 101.07 million to US$ 129.94 million. ABM Investama recorded selling, general and administrative expenses of US$ 26.98 million; other income US$ 4.11 million; domestic market obligation of US$ 7.84 million; and other expenses of US$ 2.70 million. Operating profit increased from US$ 81.24 million to US$ 96.53 million.Profit before income tax in the first quarter of 2023 was US$ 137.26 million. Meanwhile, profit for the current period was US$ 119.96 million, which shot up from US$ 52.7 million in the first quarter of 2022. The company recorded total assets of US$ 2.14 billion as of March 31 2023, up from US$ 1.98 billion at the end of December last year. Liabilities increased from US$ 1.36 billion to US$ 1.41 billion.Source: https://investor.id/market/328442/abm-investama-abmm-laba-bersihnya-terbang-233

74,6% growth, Harita Nickel (NCKL) Earns Revenue of IDR 4,8 Trillion
74,6% growth, Harita Nickel (NCKL) Earns Revenue of IDR 4,8 Trillion
03 May 2023, 12:00 PM 5585

The integrated nickel mining and downstream issuer based in Obi Island, South Halmahera, North Maluku, PT Trimegah Bangun Persada Tbk and its subsidiary (NCKL) or Harita Nickel, announced the results of the first quarter of 2023 by recording a revenue growth of 74.6% to IDR 4.8 trillion, compared to IDR 2.7 trillion in the first quarter of 2022. Meanwhile, the net profit of owners of the parent entity reached IDR 1.4 trillion in the same period.NCKL's management said, in supporting government programs to advance the nickel industry from upstream to downstream, NCKL is committed to continuing to invest and build production facilities that can increase the volume and added value of the products it produces. "The company will also continue to maintain a healthy and strong financial position to anticipate future working capital needs," said the NCKL's written statement received by the editorial team, Wednesday (3/5/2023).It was further said, for the nickel mining segment, after elimination, NCKL's revenue increased by 71.3% to IDR 912.8 billion from IDR 532.9 billion, while for the nickel processing segment, the Company's revenue increased by 75.4% to IDR 3.9 trillion from IDR 2.2 trillion in the first quarter of 2022. The increase in NCKL's revenue was largely due to an increase in volume and production lines at the Company and its subsidiaries. Issuer TP Rachmat (ASLC) Its revenue shot up 91.6%In the first quarter of 2023, the Company recorded an increase in gross profit of 13.6%, to IDR 1.6 trillion from IDR 1.4 trillion in the first quarter of 2022. Gross profit margin decreased to 32.7% , while the ratio of operating expenses to fixed income by 4.2% due to lower coal prices and lower fuel prices compared to the first quarter of 2022. The profit for the current period amounted to IDR 1.5 trillion, a decrease compared to the same period the previous year which amounted to IDR 1.6 trillion. "The decline in profit was due to the weakening of nickel and cobalt prices, as well as the strengthening of the Rupiah in the first quarter of 2023 compared to the same period the previous year," said NCKL Management.As of March 31, 2023, for the Rotary Kiln Electric Furnance (RKEF) production line, the Company's subsidiary PT Halmahera Jaya Feronikel (HJF) has completed the construction of five production lines out of a total of 8 production lines being built. Three production lines are currently under construction and are expected to be completed by the end of the second quarter of this year, bringing HJF's total production capacity to 95 thousand metal tons/year. When combined with the production capacity of the Company's subsidiary, PT. Megah Surya Pertiwi (MSP), which has a production capacity of 25 thousand metal tons/year, the Company's total production capacity will increase to 120 thousand metal tons/year.Harita Nickel's breakthrough after a successful IPO and entering the stock exchange. NCKL has also completed the 3rd production line of the High Pressure Acid Leach (HPAL) refinery and has succeeded in achieving 100% production capacity within 2 months so that MHP's total production capacity increases from 37 thousand metal tons/year in 2022 to 55 thousand metal tons/year year in 2023. It doesn't stop there, the Company will carry out the process business further downstream by entering the commissioning phase for nickel sulfate production from early April 2023. This will be a new milestone in the electric vehicle battery industry with the presence and operation of the first nickel sulfate factory in Indonesia.Source: https://investor.id/market/328455/tumbuh-746-harita-nickel-nckl-raup-pendapatan-rp-48-triliun

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