Indonesia Miner
Welcome to Indonesia Miner

17 May 2022, 09:10 AM

Coal Companies Propose Revised RKAB
The Ministry of Energy and Mineral Resources (ESDM) ensures that a number of coal companies have submitted a revised Work Plan and Budget (RKAB).Director of Coal Business Guidance at the Ministry of Energy and Mineral Resources, Lana Saria, revealed that several Mining Business Permits (IUPs) have submitted plans to change the RKAB. "Both (for) an increase in production plans and a decrease in coal production in 2022," said Lana to Kontan, Monday (16/5).Lana explained, generally plans to reduce production are submitted following the company's production results in the first quarter of 2022. In addition, the company is also considering the projected constraints for production in the rest of the year. Meanwhile, changes in plans to increase production are generally carried out following an increase in the company's production capacity.Although she did not elaborate further on how many companies submitted a revised RKAB, Lana ensured that production for this year was still around the level of 663 million tons. "The realization until April 2022 has reached 29%," explained Lana.Thus, the production achievement in the first four months of 2022 is around 192.26 million tons. Of this amount, the realization of the fulfillment of domestic coal or Domestic Market Obligations (DMO) reached 33% of the target or equivalent to 54 million tons.Source;
15 May 2022, 08:09 AM

BUMA Wins Coking Coal Mining Contract in Australia
 PT Delta Dunia Makmur Tbk (DOID) announced that its subsidiary, PT Bukit Makmur Mandiri Utama (BUMA), through its Australian subsidiary, BUMA Australia Pty Ltd (BUMA Australia), will soon start a new mining service for Bowen Coking Coal (BCC), a company listed on the Australian Stock Exchange (ASX), for the Broadmeadow East semi-hard coking coal project. The new contract is worth 320 million Australian dollars for a period of three years, with an option for a one-year extension.The project is located 25 km northeast of the town of Moranbah, within the Central Bowen Basin in Queensland. BUMA Australia itself has been operating around the area for 14 years, in the Goonyella project belonging to BHP Billiton and Mitsubishi Alliance (BMA). The project will produce 4.8Mtpa of ROM coal over four years.President Director of PT Delta Dunia Makmur Tbk Ronald Sutardja explained, BUMA Australia's performance and track record has strengthened relationships with existing clients."The strength of the company's business allows us to continue to seek new contracts. We thank theentire BUMA Australia team for successfully securing the second contract in the last five months since our acquisition of Downer Mining East in December last year," said Ronald, in a press statement. , Sunday (15/5/2022).This new contract further supports Buma Australia's presence in the Bowen Basin, with an operational track record of more than 10 years at BMA's Blackwater coking coal mine, and 14 years at BMA's Goonyella coking coal mine.On 22 February 2022, Buma Australia announced that it had secured a new contract extension worth AUD 550 million for five years at BMA's Blackwater mine.This new contract also confirms Delta Dunia Makmur's strategy to remain committed to providing mining services from upstream to downstream and continue to strengthen business lines in Indonesia and Australia.Third, the company is actively managing its funding position, with more than 60% of its liabilities maturing in 2026 or later.Fourth, the company added more than 880 million BCM of overburden removal and more than 119 million tons of coal production to its order book through new contracts and contract extensions (excluding contracts announced in 2022).Fifth, the company completed the acquisition of Downer Mining East, an Australian Tier 1 mining contractor, which increased the company's BCM and annual revenue by around 50 percent.Sixth, the company started its commodity diversification, through the acquisition of a 15.4% stake in Asiamet Resources with a portfolio of copper and polymetallic projects in Indonesia.Source:
12 May 2022, 13:11 PM

PT Trimata Benua's Steps to a World Class Mining
PT Trimata Benua (TB) is one of the coal mining companies in Banyuasin Regency, South Sumatra ( South Sumatra ), which targets to become World Class Mining , or a world-class company.Various strategic steps have been taken by PT TB to realize these targets. One of them is by building cooperation with Mining Industry Indonesia (MIND ID), or with other companies, both local and international.Finance Director of PT Trimata Benua, Arya Setyaki said, PT TB wants to help the Indonesian government, in supplying coal for Steam Power Plants (PLTU) throughout Indonesia. As well as developing new renewable energy as a primary energy source in the future."We also want to improve the wheels of the economy, welfare and standard of living of local residents and surrounding areas, so that they will be better in the future," he said, Thursday (12/5/2022).Since PT TB started cooperation with MIND ID on February 18, 2022, Arya continued, they have completed the first shipment for MIND ID.From this cooperation, the coal mining company gets various benefits. Among other things, the establishment of a cooperative relationship with one of the Indonesian State-Owned Enterprises (BUMN).And also being able to compete to be bigger, such as companies that are shaded by MIND ID such as PT Bukit Asam, Inalum, Freeport and others.Arya continued, there are several sectors that will continue to be improved. Such as maximizing the improvement of Human Resources (HR) in Indonesia as much as possible, especially the sons of the region in Palembang and its surroundings. Source:
11 May 2022, 12:01 PM

ZINC sales grew 38% in 2021
PT Kapuas Prima Coal Tbk (“ZINC”), posted growth in performance both in terms of sales and net income during 2021. ZINC recorded sales of IDR838.8 billion, an increase of 38% compared to 2020 which was recorded at IDR608.1 billion. Meanwhile, ZINC's net income also shot up 165% to reach IDR77.2 billion from IDR29.1 billion in the same period in the previous year. This achievement was driven by additional sales of iron concentrates amounting to IDR126.3 billion and sales of ZINC iron ore which increased very significantly in 2021 reaching 734% or IDR61.8 billion. ZINC Director Evelyne Kioe explained, “The year 2021 had been quite challenging for the dynamics of the domestic and global industry. Because several new variants of the Covid-19 virus emerged that year, slightly hampering the economic recovery. However, we are grateful that we were able to go through this challenging year with satisfactory results. Supported by rising commodity prices and increasing demand for concentrates, ZINC's sales had still been able to grow in 2021. We hope that in 2022, ZINC's sales can grow even better with a sales target of around IDR1.2 trillion.” During 2021, ZINC's sales were still dominated by sales of zinc concentrate (Zn) amounting to IDR386.8 billion or an increase of about 27% compared to the same period in 2020 which was recorded at IDR304.9 billion. Then ZINC silver sales also increased by 10% to IDR185.4 from IDR168.8 billion in 2020. Meanwhile, sales for lead concentrate (Pb) were recorded at IDR134.0 billion or increased by 5% from IDR127.0 billion in 2020. Evelyne continued, seeing that 2022 economy has started improving compared to the previous year, ZINC is optimistic that this year it can achieve the performance targets that have been set, with ZINC projecting to produce 550,000–642,000 tonnes of ore. As for sales, ZINC targets to sell around 31,980 tonnes of lead concentrate and 61,245 tonnes of zinc concentrate in 2022. We also have a target for iron ore of 180,000 tonnes by the end of the year. Source:
10 May 2022, 14:24 PM

The Ministry of Energy and Mineral Resources Asks Nickel Companies to Follow Benchmark Prices
The Ministry of Energy and Mineral Resources (ESDM) has asked nickel business actors, both miners and smelter entrepreneurs, to comply with the applicable Mineral Benchmark Prices (HPM). This was revealed in a copy of the Letter of the Directorate General of Mineral and Coal (Ditjen Minerba) Number T-1780/MB.04/DJB.M/2022 obtained by letter, dated April 26, 2022, contains the obligation to use metal HPM in the sale and/or purchase of nickel commodities. This letter, which was signed by the Director General of Mineral and Coal, Ridwan Djamaluddin, is addressed to the Board of Directors/Management of Nickel Commodity Mining Business License Holders and Directors/Management of Nickel Commodity Industrial Business License Holders/Facilities for Processing and/or Purification of Nickel Commodities.Meanwhile, the points in the letter relate to the implementation of the provisions of the Regulation of the Minister of Energy and Mineral Resources Number 07 of 2017 concerning Procedures for Setting Standard Prices for Metal and Coal Mineral Sales as amended several times, most recently by Regulation of the Minister of Energy and Mineral Resources Number 11 year 2020. In addition, it is also related to the issuance of the Decree of the Minister of Energy and Mineral Resources Number 67.K/HK.02/MEM.B/2022 concerning Reference Metal Mineral Prices and Reference Coal Prices for April 2022."The calculation of the nickel metal HPM formula for April 2022 must use the Reference Mineral Price (HMA) determined based on the Decree of the Minister of Energy and Mineral Resources Number 67.K/HK.02/MEM.B/2022 concerning Reference Metal Mineral Prices and Coal Prices. Reference for April 2022," said Ridwan as quoted from the first point in the letter, Tuesday (10/5).Furthermore, holders of nickel commodity mining business permits and holders of industrial business permits/processing and/or refining facilities for nickel commodities in selling and/or purchasing nickel ore must refer to the HPM for nickel metal. Meanwhile, the holder of a nickel commodity mining business permit and the holder of an industrial business permit/processing and/or refining facility for nickel commodities selling and/or purchasing nickel ore without referring to the metal HPM will be subject to sanctions in accordance with the provisions of the legislation.Previously, the polemic on the selling price between the miners and the smelter industry did occur, especially in the midst of high nickel ore prices. Secretary General of the Indonesian Nickel Miners Association (APNI) Meidy K. Lengkey explained that the HPM for nickel metal in April 2022 reached US$ 80 per wet metric ton (wmt). This value is higher than the March 2022 HPM which was only US$ 50 per wmt. In this condition, many smelter business actors wish to enter into contracts with miners at prices in March and not at prices in April.This condition is also considered to be burdensome for mining business actors. This is because business actors will pay their obligations to the state in accordance with the applicable HPM. This means, if the miner sells at a price of US$ 50 per wmt, then the amount of liability that must be paid refers to the applicable HPM of US$ 80 per wmt."The year-end tax, corporate income tax will be extraordinary because the price has been set," explained Meidy to Kontan, Tuesday (10/5). Meidy also hopes that in the future all business actors can follow the rules that have been set.Source:
10 May 2022, 09:12 AM

Far East Gold begins revised scoping study for Wonogiri copper-gold project
Far East Gold (ASX: FEG) has begun a revised scoping study for its Wonogiri copper-gold project in Indonesia’s south central Java region, as survey work continues at Woyla. The company has engaged Mining One Consultants to update former owner Augur Resources’ scoping study that was prepared in 2016.As part of this, Mining One has begun metallurgical test work on porphyry and epithermal drill core samples, and will reassess the study based on current commodity prices, and an optimal processing flow sheet. The previous scoping study was based on a 2016 gold price of US$1,350 per ounce and copper attracting US$5,500 per tonne.Far East noted Mining One had already provided it with a pit optimisation study for Wonogiri, which included a high-level open-pit and underground mining scenario for the Randu Kuning deposit.Initial metallurgical resultsThe metallurgical test work is looking at gold and copper samples of Wonogiri porphyry ore, which has head grades ranging from 0.8-1.7 grams per tonne gold and 0.11-0.21% copper. Epithermal samples are also being analysed for optimal recoveries with head grades ranging from 0.58-10g/t gold and 6-8.5g/t silver.Initial porphyry metallurgical results have achieved 35-51% gold recoveries using simple gravity. A further 83-85% of the gold in the gravity tailings can be recovered using conventional carbon-in-lead processing. To-date, overall gold recoveries ranged from 90-91%, with associated silver recoveries of around 65%.Under the test work program, Far East is investigating reducing cyanide usage and potentially regenerating cyanide to further minimise consumption.Potential to grow resourcesAugur previously developed a JORC 2012 resource for Wonogiri’s Randu Kuning deposit, which contains 1.15 million ounces of gold equivalent. This comprises 996,000oz of gold and 190 million pounds of copper.Far East noted that the potential to grow these resources is indicated by previous drilling where an extensional hole intercepted 37m at 1.77g/t gold and 0.23% copper from 458m, with mineralisation remaining open at depth.Woyla copper-gold projectIn parallel with the updated scoping study at Wonogiri, Far East is advancing its Woyla copper-gold project in Indonesia’s Aceh region. The project covers 24,260 hectares and Far East is increasing its 51% stake to 80% by completing a feasibility study and delivering a maiden JORC resource.Exploration at Woyla is underway with an induced polarisation (IP) survey crew mobilised to the project site last month. The survey is being carried out as part of a collaboration with the Indonesian Government’s Ministry of Energy and Mineral Resources.Initial survey work has been completed at the Anak Perk North section of the Anak Perak prospect, and will begin at the Anak Perak Main Zone section of the prospect later this week. Far East is anticipating survey results early next month.The rationale behind the survey is to further Far East’s understanding of the 4.7km epithermal vein system identified at the project, where rock chip sampling has uncovered up to 119g/t gold and 361g/t silver.Results from the survey along with the historical mapping, sampling and trenching will be used to pinpoint targets for the maiden drill program at Woyla.Source:
09 May 2022, 14:02 PM

Harum Energy Acquires 20% Shares of Smelter
One of the mining companies, PT Harum Energy, Tbk (HRUM) through its subsidiary, namely PT Harum Nickel Industry (HNI) has acquired 250,000 new shares of PT Westrong Metal Industry (WMI). This amount represents 20% of the total issued and paid-up capital of WMI with a purchase price of US$ 75 million on 27 April 2022.HRUM President Director Ray A Gunara explained, WMI is a limited liability company engaged in nickel refining (smelter). "WMI's smelter using  rotary klin electric furnace  (RKEF) technology is planned to be built this year along with the infrastructure in the Weda Bay Industrial Area (Indonesia Weda Bay Industrial Park) in Central Halmahera Regency," Ray explained in a Disclosure of Information to the Exchange. Indonesian Securities (IDX) on Monday (9/5).It also explained that its annual production capacity is targeted to be between 44,000-56,000 tons of nickel in the form of  ferronickel / nickel pig iron . "The purpose of the transaction carried out by the company is to further develop and expand the company's business activities into the nickel industry, which is the realization of the company's long-term business diversification strategy," said Ray A Gunara.It was emphasized in the information disclosure that there was no material impact on the taking of the shares on the operational, legal, financial condition or continuity of the company's operations.Source:
09 May 2022, 10:25 AM

Vale Will Supply Class I Nickel To Tesla Inc
A mining company headquartered in Brazil announced that it has signed a long-term contract with Tesla, Inc. to supply Class 1 nickel in the United States from its operations in Canada. This agreement is in line with the company's strategy to increase exposure to the electric vehicle industry, leveraging the company's low carbon footprint and leading position as the largest nickel producer in North America.“We are delighted to have the leading electric vehicle manufacturer Tesla among our customers,” said Deshnee Naidoo, Vale Executive Vice President for Base Metals. He added, “This agreement reflects our shared commitment to sustainability and demonstrates very clearly that we are the supplier of choice for the low-carbon, high-purity nickel products that are essential for long-range batteries.”The press release explained that Vale's target is to send 30% to 40% of Class 1 nickel sales into the fast-growing electric vehicle industry.To note, Vale's Canadian operations produce some of the lowest carbon nickel globally. The 2020 round of the Long Harbor refinery in Newfoundland & Labrador has a verified carbon footprint of 4.4 tonnes CO2 equivalent per tonne nickel. Meanwhile pellets and powder from the Copper Cliff Nickel Refinery in Ontario have a verified trace equivalent of 7.3 tonnes. This includes Scope 1 and 2 emissions from mining, crushing and refining as well as upstream Scope 3 emissions from inputs.Source:
09 May 2022, 08:12 AM

New Reserves Discovered, IATA Coal Reaches 20.58 Million Metric Tons
PT MNC Energy Investments (IATA) through its newly acquired company, PT Arthaco Prima Energy (APE) has discovered new coal reserves of up to 20.58 million metric tons (MT). Based on a report by the Indonesian Mineral Reserves Committee (KCMI), the new coal reserves have a GAR of 3,250 kg/kcal in Phase 1 drilling on an area of ​​380 hectares of the total current reserve area of ​​2,059 hectares. Meanwhile, Phase 1 coal resources reached 138.85 million MT.Using the average HBA coal price from 2000 to April 2022, APE mining activities will generate a Net Present Value (NPV) of USD 56.6 million, with an Internal Rate of Return (IRR) of 56.5%, Break Even Point (BEP) of 5.2 million MT and Payback Period of 1.87 years. "Obviously if coal prices persist as they are now, the above NPV will more than double," said Head of Investor Relations IATA, Natassha Yunita, Monday (9/5).Natassha said that the discovery of reserves and resources will continue to grow because the Phase 1 drilling carried out is only less than 20% of the APE IUP area that can be mined. Phase 2 and Phase 3 drilling are scheduled to be completed this quarter.“APE already has a Production Operation IUP with an area of ​​15,000 hectares in Musi Banyuasin, South Sumatra. The APE mine site is only 12.5 km from the river and about 108 km to the transshipment area at Tanjung Buyut port. APE is planned to start production in the fourth quarter of 2022," he said.With the addition of this KCMI report, proven coal reserves from 9 IUPs owned by IATA increased to 158.68 million from the previous 138.1 million MT. This figure does not take into account the additional reserves from the APE IUP where more than 80% of the land has not been drilled.As for the IUP of PT Indonesia Batu Prima Energi (IBPE), PT Bhumi Sriwijaya Perdana Coal – South (BSPC-S), PT Putra Mandiri Coal (PUMCO), PT Primaraya Energi (PE), PT Titan Prawira Sriwijaya (TPS), PT Sriwijaya Energi Persada (SEP), as well as PT Energi Inti Bara Pratama (EIBP), have not drilled at all.“Drilling activities will continue and reserves will continue to grow if exploration results show coal findings. Management estimates that coal reserves for all IUPs will reach a minimum of 600 million MT," he said. (RW)Source:


Hello! We would like to talk to you.Please fill the details below to start chatting with us.