Merdeka Gold’s Pani Project Set to Begin Production Early 2026
Fri 26 Sep 2025, 11:10 AM
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PT Merdeka Gold Resources Tbk (EMAS) will focus on completing the Pani Gold Project in Pohuwato Regency, Gorontalo, following its official stock-market listing. The company expects gold production from the Gorontalo mine to begin in the near term.
EMAS President Director Boyke P. Abidin said the Pani Gold Project continues to show positive progress, with construction now nearly 75% complete. EMAS targets to start mining activities at the project by late 2025. “First gold from Pani is targeted for February or March 2026,” he said on Tuesday (23/9).
In the initial phase, EMAS will use a heap-leach processing facility with a capacity of 7 million tonnes per year and a maximum output of around 145,000 troy ounces of gold annually.
The company is aiming to produce about 75,000–85,000 troy ounces in 2026 when the Pani Gold Project begins operations early next year. For context, EMAS is part of PT Merdeka Copper Gold Tbk. (MDKA), which operates the Tujuh Bukit mine in Banyuwangi and the Wetar copper mine.
Analysts view the outlook for this new market entrant as positive given its imminent transition into production. Liza Camelia, Head of Research at Kiwoom Sekuritas Indonesia, noted that EMAS’s valuation currently hinges on Pani’s future prospects, with reserves approaching 7 million ounces. “Pani has the potential to become one of the largest primary gold mines in the Asia-Pacific,” Liza wrote in a report published Friday (26/9).
The Pani Project is targeting 145,000 oz per year at a cash cost of around USD 800/oz and an AISC of USD 990/oz. At present, nameplate capacity is 115,000 oz per year with a cash cost of USD 1,017/oz and an AISC of USD 1,337/oz.
Assuming 90% utilization, Liza said Pani’s output could reach 130,000 oz per year, taking MDKA’s total gold production to an estimated 235,000 oz in 2026.
Liza projects MDKA’s gold-segment revenue could reach USD 533 million next year, a sharp rise from USD 261 million last year. Average cash costs are also projected to fall to around USD 950/oz. “EMAS remains consolidated, so once in operation it will make a significant contribution to MDKA’s revenue,” she added.
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