IMA-Daily Update Page 1

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For the Continuation of Mining Contracts, the Government Accelerates PP Minerba Demi Kelanjutan Kontrak Tambang, Pemerintah Kebut PP Minerba Affected by the pandemic, Bukit Asam's (PTBA) net profit fell 35% in the first half of 2020 Terdampak pandemi, laba bersih Bukit Asam (PTBA) anjlok 35% di semester I-2020 Amman Mineral Commitment to Implement Sustainable Mining Amman Mineral Komitmen Terapkan Pertambangan yang Berkelanjutan Arutmin Ready to Extend Permits, How Much BUMI 2020 Coal Production? Arutmin Siap Perpanjang Izin, Berapa Produksi Batu Bara BUMI 2020? Director of MIND ID Orias wants everyone to know that the Freeport smelter project is detrimental Dirut MIND ID Orias ingin semua tahu bahwa proyek smelter Freeport merugikan Adaro Wins 5 Awards from the Ministry of EMR Adaro Raih 5 Penghargaan dari Kementerian ESDM J Resources Subsidiary Wins Mining Sector Award Anak Usaha J Resources Raih Penghargaan Sektor Pertambangan Antam Collaborates with Regional Government of Papua to Work on Wabu Gold Mine, Estimated Capex of US$ 1.4 billion Antam gandeng Pemda Papua garap tambang emas Wabu, estimasi capex US$ 1,4 miliar Agincourt Resources Commitment to Improve Exploration Performance Agincourt Resources Komitmen Tingkatkan Kinerja Eksplorasi

CNBC Indonesia Kontan Dunia Energi Bisnis Kontan Liputan6 Republika Kontan Dunia Energi

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Coal Shot 17% in September, What's the Strong Medicine? Batu Bara Melesat 17% di September, Obat Kuatnya Apa Sih? Copper price surges on booming Chinese factories Metso to supply Australia’s largest Vertimill grinders Output from top copper producers down 3.7% in Q2 2020 – report New Metso Outotec Courier on-stream analyser could reduce gold losses China's Shandong Gold to buy Xinjiang-focused miner Hengxing South32 hands Worsley Alumina contracts to SRG Global

CNBC Indonesia Mining.com Australian Mining Mining.com Int'l Mining Mining Weekly Australian Mining

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IMA-Daily Update Page 3

For the Continuation of Mining Contracts, the Government

Accelerates PP Minerba Anisatul Umah, CNBC Indonesia

THE MINISTRY of Energy and Mineral

Resources (MEMR) through the Directorate General of Mineral and Coal (Minerba) continues to strive so that the Government Regulation (PP) which is the implementing derivative rule of Law Number 3 of 2020 concerning Minerals and Coal can be completed immediately.

This was conveyed by the Director General of Minerba Ridwan Djamaluddin. According to him, currently there are three new Draft Government Regulations (RPPs) that are being drafted and his party is trying to finish them immediately because they are related to the continuation of mining operations of a number of companies.

"We are currently working on three RPPs, we are trying hard to complete them so that business entities can continue their activities without any obstacles," said Ridwan at the 'Coalaboration 31 years of contributing to the nation' event organized by the Indonesian Coal Mining Association (APBI) virtually at Wednesday (30/09/ 2020).

Ridwan said, even though the Minerba Law was promulgated on June 10, 2020, until now it is still the pros and cons of several parties. However, according to him, when a decision has been made, it means that it must be obeyed until there is a better solution in the future.

Demi Kelanjutan Kontrak Tambang, Pemerintah Kebut PP

Minerba Anisatul Umah, CNBC Indonesia

KEMENTERIAN Energi dan Sumber Daya

Mineral (ESDM) melalui Direktorat Jenderal Mineral dan Batubara (Minerba) terus berupaya agar Peraturan Pemerintah (PP) yang menjadi aturan turunan pelaksana dari Undang-Undang (UU) Nomor 3 tahun 2020 tentang Mineral dan Batubara bisa segera rampung.

Hal tersebut disampaikan oleh Dirjen Minerba Ridwan Djamaluddin. Menurut-nya, saat ini ada tiga Rancangan Peraturan Pemerintah (RPP) baru yang tengah disusun dan pihaknya berupaya segera menyelesaikannya karena terkait kelanjutan operasional tambang sejumlah perusahaan.

"Kami sekarang sedang menyusun tiga RPP, sedang berusaha keras untuk menyelesaikannya supaya badan usaha dapat dilanjutkan kegiatannya tanpa kendala," papar Ridwan pada acara 'Coalaboration 31 years of contributing to the nation' yang diselenggarakan Asosiasi Pertambangan Batu Bara Indonesia (APBI) secara virtual pada Rabu (30/09/2020).

Ridwan mengatakan, meski UU Minerba sudah diundangkan pada 10 Juni 2020, namun sampai saat ini masih menjadi pro kontra beberapa pihak. Meski demikian, menurutnya ketika sebuah keputusan sudah dibuat, berarti harus dipatuhi sampai ada solusi yang lebih baik di masa mendatang.

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"Law No. 3 of 2020, most of us welcome this law as a strong legal basis for the mining industry and management. However, as we know, there are also parties who want to provide input, still not 100% agree," he explained.

According to him, it does not matter if there are parties who have not agreed. However, he continued, do not let this make the government's efforts not on the productive side.

"For me, it is fine (contra), but we anticipate that this condition will not make our efforts in a productive position," he said.

He also hopes that the PP drafting process will not be shaken too strongly because if it is not finished on time, it will have a bad impact. According to him, we need to realize that nothing is perfect in this world.

"But if we change this, let us also change it in due time. Please propose it later through an appropriate mechanism and at a good time," he said.

Previously, a coalition of civil society members of the #BersihkanIndonesia Movement urged the government to postpone and cancel this Minerba RPP.

Aryanto Nugroho, a representative from PWYP Indonesia, said the request for postponement and cancellation of the RPP was due to several things, including a number of articles in the RPP which were deemed to have the potential to cause problems in the future, privilege certain business actors, and were deemed not in accordance with other regulations.

"We found a number of problematic articles in this Minerba RPP," he said in a virtual press conference on Tuesday (15/09/2020).

"UU No. 3 tahun 2020, sebagian besar kita menyambut baik UU ini akan menjadi landasan hukum yang kuat bagi industri dan pengelolaan minerba. Namun sebagaimana kita ketahui, masih ada juga pihak yang ingin memberikan masukan, masih belum 100% sepakat," jelasnya.

Baginya tidak masalah jika masih ada pihak-pihak yang belum bersepakat . Namun demikian, lanjutnya, jangan sampai hal ini membuat upaya pemerintah tidak berada di sisi produktif.

"Buat saya bagus-bagus saja (kontra) , namun kita antisipasi jangan sampai kondisi seperti ini malah membuat upaya kita tidak dalam posisi yang produktif," ungkapnya.

Dia pun berharap dalam proses penyusunan PP ini tidak digoyang terlalu kuat karena jika tidak selesai sesuai waktunya, maka akan berdampak tidak baik. Menurutnya, perlu disadari tidak ada yang sempurna di dunia ini.

"Namun kalau ini kita ubah, mari kita ubah juga pada waktunya. Silahkan nanti di-usulkan melalui mekanisme yang sesuai dan pada saat yang baik," tuturnya.

Sebelumnya, koalisi masyarakat sipil ter-gabung dalam Gerakan #BersihkanIndonesia mendesak pemerintah untuk menunda dan membatalkan RPP Minerba ini

Aryanto Nugroho, perwakilan dari PWYP Indonesia, mengatakan permintaan penun-daan dan pembatalan RPP ini dikarenakan beberapa hal, termasuk sejumlah pasal dalam RPP tersebut yang dianggap ber-potensi menimbulkan masalah di kemudian hari, mengistimewakan pelaku usaha ter-tentu, serta dianggap tidak sesuai dengan peraturan lainnya.

"Kami menemukan sejumlah pasal ber-masalah dalam RPP Minerba ini," ujarnya dalam konferensi pers virtual pada Selasa (15/09/2020).

IMA-Daily Update Page 5

One of the articles that is being challenged is the provisions concerning the transfer of IUP based on the approval of the Minister of EMR as stipulated in Article 12. According to him, this article opens up opportunities for the transfer of IUP, so that it has the potential to generate new rents.

Based on the RPP document regarding the Implementation of Mineral and Coal Mining Business Activities obtained by CNBC Indonesia, there are 202 articles in this RPP.

This RPP also regulates starting from the determination of the types of mining commodities ranging from radioactive minerals, such as uranium, thorium, and others, metal minerals, non-metal minerals, certain types of non-metal minerals, rock and coal commodities.

Then it also regulates the national mineral and coal management plan which is stipulated by the minister for a period of five years and can be reviewed once in five years. In addition, business licensing is also regulated, which is the authority of the central government and which is the authority of the provincial government.

For all mining operational permits, such as Mining Business Permits (IUP), Special Mining Business Permits (IUPK), IUPK as a continuation of contract/agreement operations, People's Mining Permits (IPR), Transport and Sales Permits are under the authority of the central government.

As for what can be delegated to the provincial government, namely business licensing in the form of providing standard certificates and permits. The RPP also states that "IUP holders are prohibited from transferring IUP to other parties without the approval of the Minister". Consent can be given as long as it meets a number of requirements. That means, can IUP transfer be allowed?

Salah satu pasal yang ditentang yaitu tentang ketentuan pemindahtanganan IUP berdasarkan persetujuan Menteri ESDM yang tertuang dalam Pasal 12. Pasal ini menurutnya membuka peluang untuk pemindahtanganan IUP, sehingga ber-potensi memunculkan rente baru.

Berdasarkan dokumen RPP tentang Pelak-sanaan Kegiatan Usaha Pertambangan Mineral dan Batu Bara yang diperoleh CNBC Indonesia, terdapat 202 pasal dalam RPP ini.

RPP ini pun mengatur mulai dari ditetap-kannya jenis-jenis komoditas tambang mulai dari mineral radioaktif, seperti uranium, torium, dan lainnya, mineral logam, mineral bukan logam, mineral bukan logam jenis tertentu, komoditas batuan dan batu bara.

Lalu diatur juga tentang rencana penge-lolaan mineral dan batu bara nasional yang ditetapkan menteri untuk jangka waktu lima tahun dan dapat ditinjau kembali satu kali dalam lima tahun tersebut. Selain itu, perizinan berusaha juga diatur, mana yang menjadi kewenangan pemerintah pusat dan mana kewenangan pemerintah provinsi.

Untuk segala izin operasional tambang, seperti Izin Usaha Pertambangan (IUP), Izin Usaha Pertambangan Khusus (IUPK), IUPK sebagai kelanjutan operasi kontrak/ perjanjian, Izin Pertambangan Rakyat (IPR), Izin Pengangkutan dan Penjualan menjadi kewenangan pemerintah pusat.

Adapun yang bisa didelegasikan kepada pemerintah provinsi yaitu perizinan berusaha dalam bentuk pemberian sertifikat standar dan izin. Dalam RPP ini pun disebutkan bahwa "pemegang IUP dilarang memindahtangankan IUP kepada pihak lain tanpa persetujuan dari Menteri". Persetujuan dapat diberikan selama memenuhi sejumlah persyaratan. Artinya, apakah pengalihan IUP bisa diizinkan?

IMA-Daily Update Page 6

SOE IUP holders can also transfer their share ownership to other business entities on the condition that the SOE still controls 51% or more of the shares in the IUP.

In addition, this RPP also regulates the procedures for granting mining business permits, including how the license extension mechanism. The length of time for exploration and production is also regulated. For IUP holders, the duration of exploration and production operations for each type of commodity is differentiated. (wia)

Pemegang IUP BUMN pun dapat meng-alihkan kepemilikan sahamnya kepada badan usaha lain dengan syarat BUMN tersebut masih menguasai 51% atau lebih saham di IUP tersebut.

Selain itu, RPP ini juga mengatur tentang tata cara pemberian izin usaha pertam-bangan, termasuk bagaimana mekanisme perpanjangan izin. Berapa lama jangka waktu eksplorasi dan produksi pun diatur. Untuk pemegang IUP, jangka waktu eksplo-rasi dan operasi produksi setiap jenis komoditas dibedakan. (wia)

Affected by the pandemic, Bukit Asam's (PTBA) net profit fell

35% in the first half of 2020 Reporter: Akhmad Suryahadi | Editor: Anna

Suci Perwitasari

THE PERFORMANCE of PT Bukit Asam

Tbk (PTBA) during the first six months of 2020 was under pressure. Evidently, the coal mining issuer's net profit fell 35% to Rp 1.28 trillion in the first half of 2020.

Just so you know, in the first half of last year, PTBA managed to record a net profit of up to Rp 2 trillion. The decline in the bottomline of this state-owned company was in line with the decline in net income.

Based on the financial report, PTBA's revenue at the end of June 2020 was only Rp 9.01 trillion, down 15.09% year-on-year (yoy) from the same period last year which reached Rp 10.61 trillion.

President Director of PTBA Arviyan Arifin said that the decline in PTBA's perfor-mance in the first semester could not be separated from the impact of the Covid-19 pandemic.

Terdampak pandemi, laba bersih Bukit Asam (PTBA) anjlok

35% di semester I-2020 Reporter: Akhmad Suryahadi | Editor: Anna

Suci Perwitasari

KINERJA PT Bukit Asam Tbk (PTBA)

sepanjang enam bulan pertama 2020 dalam tekanan. Terbukti, laba bersih emiten pertambangan batubara ini ambles 35% menjadi Rp 1,28 triliun di semester I-2020.

Asal tahu saja, pada semester pertama tahun lalu, PTBA berhasil mencatatkan laba bersih hingga Rp 2 triliun. Penurunan bottomline dari perusahaan pelat merah ini seiiring dengan penurunan pendapatan bersih.

Berdasarkan laporan keuangan, penda-patan PTBA di akhir Juni 2020 lalu hanya Rp 9,01 triliun, turun 15,09% secara year-on-year (yoy) dari periode yang sama tahun lalu yang mencapai Rp 10,61 triliun.

Direktur Utama PTBA Arviyan Arifin mengatakan, meredupnya kinerja PTBA pada semester pertama tidak bisa terlepas dari dampak pandemi Covid-19.

IMA-Daily Update Page 7

The pandemic has weakened demand for coal. Not only from within the country (PLN) but also making exports decrease. Apart from weakening demand, the selling price of coal was also corrected.

Arviyan said, throughout 2020, the reference coal price (HBA) had been corrected by nearly 20%. At the beginning of the year, the price of coal was still in the range of US$ 66 per ton, but in June it had eroded to US$ 52 per ton.

"When it comes to the Indonesia Coal Index and the Newcastle Index, the decline has already fallen by 26%-27%. This certainly has an impact on our financial performance,” he said during his performance presentation which was held virtually, Wednesday (30/9).

Overall, PTBA's coal sales in the first six months of 2020 reached 12.5 million tonnes. Consisting of export sales of 5.2 million tons (41.4%) and sales to the domestic market amounting to 7.3 million tons, equivalent to 58.6% of total sales.

The sales realization was corrected by 6.7 percent from the sales realization for the same period last year. Where the coal sales volume of PTBA, a member of the Kompas100 index, reached 13.4 million tons at that time.

From the production side, PTBA produced 11.9 million tons of coal by June 2020. When compared with the realization per semester I-2019, this achievement decreased by 7.03%, at which time PTBA's total coal production reached 12.8 million tons.

During the first semester of this year, Bukit Asam's coal transportation capacity was recorded at 11.7 million tons. This number has not changed much from last year's period.

Pandemi membuat permintaan batubara melemah. Tak hanya dari dalam negeri

(PLN) tetapi juga membuat ekspor turun. Selain melemahnya permintaan, harga jual

batubara juga terkoreksi.

Arviyan mengatakan, sepanjang 2020, harga batubara acuan (HBA) sudah ter-

koreksi hampir 20%. Di awal tahun harga batubara masih ada di kisaran US$ 66 per

ton, namun pada Juni sudah terkikis ke US$ 52 per ton.

“Kalau bicara Indonesia Coal Index dan

Indeks Newcastle, turunnya sudah 26%-27%. Ini tentunya berdampak terhadap

kinerja keuangan kami,” kata dia saat paparan kinerja yang digelar secara virtual,

Rabu (30/9).

Secara keseluruhan, penjualan batubara

PTBA di enam bulan pertama 2020 men-capai 12,5 juta ton. Terdiri dari penjualan

ekspor 5,2 juta ton (41,4%) dan penjualan ke pasar domestik sebanyak 7,3 juta ton,

setara 58,6% dari total penjualan.

Realisasi penjualan ini terkoreksi 6,7% dari realisasi penjualan periode yang sama

tahun lalu. Dimana volume penjualan batubara PTBA, anggota indeks

Kompas100 ini, mencapai 13,4 juta ton saat itu.

Dari sisi produksi, PTBA memproduksi

11,9 juta ton batubara hingga Juni 2020. Bila dibandingkan dengan realisasi per

semester I-2019, capaian ini turun 7,03%, di mana saat itu total produksi batubara

PTBA mencapai 12,8 juta ton

Selama semester pertama tahun ini,

tercatat kapasitas angkutan batubara Bukit Asam mencapai 11,7 juta ton. Jumlah ini

tidak banyak berubah dari periode tahun lalu.

IMA-Daily Update Page 8

However, in the midst of fluctuating coal prices, PTBA managed to implement a

number of efficiencies. One of the implementation is a decrease in cost of

revenue by 7.1% to Rp 6.42 trillion from the previous Rp 6.958 trillion.

As of the first semester of 2020, Bukit Asam's

total assets reached Rp 26.89 trillion. This

amount consists of liabilities worth Rp 10.92

trillion and equity worth Rp 15.96 trillion. The

amount of cash and cash equivalents

narrowed by this state-owned company as of

June 30 reached Rp. 8.64 trillion, up 63.6%

from the position in June 2019.

Bukit Asam Finance Director Mega Satria added that PTBA's cash position is currently

quite strong. Evidently, PTBA can still pay dividends to shareholders without any

future cash flow issues.

After the announcement of the performance

results, PTBA's shares declined 1.76% to the level of Rp 1,950 at the close of the first

trading session.

Namun, di tengah fluktuasinya harga batu-bara, PTBA berhasil melakukan sejumlah

efisiensi. Salah satunya implementasinya adalah turunnya beban pokok pendapatan

hingga 7,1% menjadi Rp 6,42 triliun dari sebelumnya Rp 6,958 triliun.

Per semester I-2020, jumlah aset Bukit

Asam mencapai Rp 26,89 triliun. Jumlah ini terdiri atas liablitas senilai Rp 10,92 triliun

dan ekuitas senilai Rp 15,96 triliun. Adapun jumlah kas dan setara kas yang

dikempit perusahaan BUMN ini per 30 Juni mencapai Rp 8,64 triliun, naik 63,6% dari

posisi Juni 2019.

Direktur Keuangan Bukit Asam Mega Satria menambahkan, posisi kas PTBA saat ini

cukup kuat. Terbukti, PTBA masih bisa membayar dividen kepada pemegang

saham tanpa ada isu cashflow ke depan.

Pasca pengumuman hasil kinerja, saham

PTBA menurun 1,76% ke level Rp 1.950 pada penutupan perdagangan sesi

pertama.

Amman Mineral Commitment to

Implement Sustainable Mining Yurika

PT AMMAN Mineral Nusa Tenggara

(AMNT/Amman Mineral), an affiliated

company of PT Medco Energi Internasional

Tbk (MEDC), won a number of awards for

its achievements in applying good mineral

and coal mining engineering principles in

the Good Mining Practice Award from the

Ministry of Energy and Resources.

Minerals (MEMR) last Tuesday (29/9).

Amman Mineral Komitmen

Terapkan Pertambangan yang Berkelanjutan

Yurika

PT AMMAN Mineral Nusa Tenggara

(AMNT/Amman Mineral), perusahaan terafiliasi PT Medco Energi Internasional Tbk (MEDC), meraih sejumlah peng-hargaan untuk prestasinya dalam menerapkan kaidah teknik pertambangan mineral dan batubara yang baik dalam ajang Good Mining Practice Award dari Kementerian Energi dan Sumber Daya Mineral (ESDM) pada Selasa lalu (29/9).

IMA-Daily Update Page 9

Rachmat Makkasau, President Director of Amman Mineral, said that the Aditama Trophy in the field of Environmental Management of Mineral and Coal Mining which was received by Amman Mineral was a special award, which was generated by the hard work of all employees and business partners during the pandemic.

"We are committed to good mining practices in accordance with the national mining pillars as stipulated in a number of regulations. Amman Mineral highly appreciates the support of the government, especially the Ministry of EMR which has provided guidance and supervision at every stage of our operations. We hope it can be even better and exceed the standards required by the government," said Rachmat.

The Aditama trophy is the highest award for a company that applies good mining principles. This award is the fourth trophy won by Amman Mineral since 2004. In addition to the Aditama Trophy for environmental management , Amman Mineral also received the Main Trophy for Mineral and Coal Conservation at this year's Good Mining Practice Award.

Rachmat added that the award was a form of government recognition of Amman Mineral's consistency in implementing responsible mining activities for the environment and society.

The leading efforts made by Amman Mineral in managing the mining environ-ment include reclamation and revegetation. Amman Mineral has one permanent nursery with a capacity of 70,000 - 100,000 seedlings annually which are managed independently within the concession area. This nursery unit is used to reforest the reclaimed area of 95 hectares. To prevent erosion in the reclamation area, Amman Mineral installed nets made of coconut fiber (coconet), then planted seedlings using the hydroseeding method.

Rachmat Makkasau, Presiden Direktur Amman Mineral, mengatakan Trofi Aditama di bidang Pengelolaan Lingkungan Pertambangan Mineral dan Batubara yang diterima Amman Mineral merupakan penghargaan yang spesial, yang dihasilkan oleh kerja keras seluruh karyawan dan rekan bisnis di masa pandemi.

“Kami berkomitmen pada good mining practices sesuai dengan pilar pertambangan nasional yang tertuang dalam sejumlah per-aturan. Amman Mineral sangat mengapresiasi dukungan pemerintah, terutama Kementerian ESDM yang telah memberikan bimbingan dan pengawasan di setiap tahapan operasional kami. Kami berharap bisa lebih baik lagi dan melebihi standar yang sudah disyaratkan oleh pemerintah,” kata Rachmat.

Trofi Aditama merupakan penghargaan tertinggi bagi perusahaan yang menerapkan kaidah pertambangan yang baik. Penghargaan ini merupakan trofi keempat yang diraih Amman Mineral sejak tahun 2004. Selain Trofi Aditama untuk pengelolaan lingkungan, Amman Mineral juga mendapatkan Trofi Utama untuk Konservasi Mineral dan Batu Bara dalam ajang Good Mining Practice Award tahun ini.

Rachmat menambahkan bahwa penghargaan tersebut merupakan bentuk pengakuan peme-rintah terhadap konsistensi Amman Mineral dalam menerapkan aktivitas pertambangan yang bertanggung jawab kepada lingkungan dan masyarakat.

Upaya unggulan yang dilakukan oleh Amman Mineral dalam pengelolaan lingkungan pertambangan antara lain adalah reklamasi dan revegetasi. Amman Mineral memiliki satu unit persemaian permanen dengan daya tampung 70.000 – 100.000 bibit setiap tahun yang dikelola sendiri di dalam wilayah konsesi. Unit persemaian ini dipakai untuk meng-hijaukan kembali lahan reklamasi seluas 95 hektar. Untuk mencegah erosi di area reklamasi, Amman Mineral memasang jaring yang terbuat dari serat kelapa (coconet), lalu melakukan penyemaian bibit tanaman dengan metode hydroseeding.

IMA-Daily Update Page 10

The Aditama Trophy Award from the Ministry of EMR adds to a series of achievements that have been achieved by Amman Mineral in an effort to implement sustainable and environmentally friendly mining. Some of them are the 7 times Green PROPER award from the Ministry of Environment and Forestry (KLHK), the Forest Reclamation Inspirator award also from the Ministry of Environment and Forestry in 2019, and the Silver award for the Environmental Excellence category at the Global CSR Summit and Good Governance Awards in 2019 in Sarawak, Malaysia.

On the same day, Amman Mineral also received an Exploration Award nomination from the Association of Indonesian Geologists (IAGI) for 3 categories in the mineral and coal sector, namely: Best People Development, Best Exploration Commitment, and Best Exploration Largest Expenditure.

Arifin Tasrif, Minister of EMR, stated that this award should be a motivation for companies to become better.

"I hope that mining business entities and mining service business entities that have received awards can become role models, storefronts, and 'a place to see and be seen' for the application of mining engineering principles," said Arifin. (RA)

Penghargaan Trofi Aditama dari KESDM ini menambah sederet prestasi yang telah di-capai Amman Mineral dalam upaya menerapkan pertambangan yang berke-lanjutan, serta ramah lingkungan. Beberapa di antaranya adalah 7 kali penghargaan PROPER Hijau dari Kementerian Lingkungan Hidup dan Kehutanan (KLHK), penghargaan Inspirator Reklamasi Hutan juga dari KLHK pada tahun 2019, dan penghargaan Silver untuk kategori Environmental Excellence dalam Global CSR Summit and Good Governance Awards pada tahun 2019 di Serawak, Malaysia.

Pada hari yang sama, Amman Mineral juga mendapat nominasi Exploration Awards dari Ikatan Ahli Geologi Indonesia (IAGI) untuk 3 kategori bidang mineral dan batubara, yaitu: Best People Development, Best Exploration Commitment, dan Best Exploration Largest Expenditure.

Arifin Tasrif, Menteri ESDM, menyatakan bahwa penghargaan ini harus menjadi motivasi bagi perusahaan untuk menjadi lebih baik.

“Saya berharap agar badan usaha pertam-bangan dan badan usaha jasa pertambangan yang mendapat penghargaaan dapat menjadi role-model, etalase, serta ‘a place to see and be seen’ untuk penerapan kaidah teknik pertambangan,” tandas Arifin. (RA)

Arutmin Ready to Extend

Permits, How Much BUMI 2020 Coal Production?

Finna U. Ulfah

SUBSIDIARY of PT Bumi Resouces Tbk.

(BUMI), PT Arutmin Indonesia, is ready to sign a Special Mining Business Permit (IUPK) to produce high calorie coal.

Arutmin Siap Perpanjang Izin,

Berapa Produksi Batu Bara BUMI 2020?

Finna U. Ulfah

ANAK usaha PT Bumi Resouces Tbk. (BUMI),

PT Arutmin Indonesia, siap menandatangani Izin Usaha Pertambangan Khusus (IUPK) untuk memproduksi batu bara kalori tinggi.

IMA-Daily Update Page 11

Bumi Resources Director and Corporate Secretary Dileep Srivastava said Arutmin

hopes to sign the new IUPK by November 1, 2020. The company will inform if there

is any further progress.

"The new IUPK should be on November 1 at the latest, and we are subject to a permit

extension from the government," said Dileep, Wednesday night (30/9/2020).

According to him, Arutmin's coal

production will range from 24 million - 25 million tonnes in 2020, because BUMI

continues to plan high calorie production until the price of black rock recovers.

Meanwhile, from another subsidiary, PT Kaltim Prima Coal (KPC), BUMI is

launching coal production of 61.5 million tons. KPC is the largest coal producer in

Indonesia.

Thus, BUMI has set its coal production volume target this year in the range of 85.5

million to 86.5 million tonnes.

The total production and sales of BUMI's coal as of August 2020 or 8 months this

year from KPC and Arutmin reached 53.8 million tons.

Dileep Srivastava said that the actual production in August 2020 of 6.9 million

tons was 1 million tons higher than the production in July 2020 of 5.9 million tons.

Meanwhile, the actual p roduction

consisted of 5 .3 million tons mined through KPC's subsidiary and 1.6 million

tons from Arutmin's subsidiary.

"[The increase in production] was mainly due to lower rainfall in both locations

compared to the rainfall in July," said Dileep. Editor: Hafiyyan

Direktur sekaligus Sekretaris Perusahaan Bumi Resources Dileep Srivastava mengatakan Arutmin berharap dapat menandatangani IUPK baru selambat-lambatnya pada 1 November 2020. Perseroan akan menginformasikan bila ada progres lebih lanjut.

"IUPK baru selambat-lambatnya pada 1 November, dan kami tunduk pada perpan-jangan izin dari pemerintah," papar Dileep, Rabu malam (30/9/2020).

Menurutnya, produksi batu bara Arutmin akan berkisar 24 juta - 25 juta ton pada 2020, karena BUMI tetap merencanakan produksi kalori tinggi hingga harga batu hitam pulih.

Adapun, dari anak usaha lainnya PT Kaltim Prima Coal (KPC), BUMI mencanangkan produksi batu bara 61,5 juta ton. KPC merupakan produsen batu bara terbesar di Indonesia.

Dengan demikian, BUMI mematok target volume produksi batu bara tahun ini di kisaran 85,5 juta hingga 86,5 juta ton.

Total produksi dan penjualan batu bara BUMI per Agustus 2020 atau 8 bulan berjalan tahun ini dari KPC dan Arutmin mencapai 53,8 juta ton.

Dileep Srivastava mengatakan bahwa realisasi produksi bulan Agustus 2020 sebesar 6,9 juta ton tersebut lebih tinggi 1 juta ton dibandingkan dengan produksi pada Juli 2020 sebesar 5,9 juta ton.

Adapun, realisasi produksi tersebut terdiri atas 5,3 juta ton yang ditambang melalui anak usaha KPC dan sebesar 1,6 juta ton dari anak usaha Arutmin.

“[Peningkatan produksi] terutama di-sebabkan oleh curah hujan yang lebih rendah di kedua lokasi dibandingkan dengan curah hujan pada Juli,” ujar Dileep. Editor : Hafiyyan

IMA-Daily Update Page 12

Director of MIND ID Orias wants everyone to know that the Freeport smelter project is

detrimental Reporter: Ridwan Nanda Mulyana | Editor:

Azis Husaini

HOLDING the state-owned mining

industry alias Mining and Industry Indonesia (MIND ID) agrees that the PT Freeport Indonesia (PTFI) copper smelter project is a commercially disadvantageous project.

Director of MIND ID Orias Petrus Moedak said that currently there is an oversupply or oversupply of the products produced by copper smelters. This condition means that the PTFI smelter project located in the Java Integrated Industrial and Port Estate (JIIPE), Gresik, East Java is said to be of no benefit.

"In the world it is an oversupply. So if we build a copper smelter, that is the calculation condition. Indeed, the current project is not profitable," said Orias when met at the DPR RI Building, Tuesday (29/9).

Orias said that his party would discuss with shareholders regarding the continuation of the PTFI smelter project. He hopes that there will be a meeting point between the economics of the project without violating the rules that have been required by the government.

"But now whether we want to continue or not, this is a commercial choice or based on regulations, two things that must be put together," explained Orias.

What is clear, he emphasized that his party is still trying to comply with applicable regulations.

Dirut MIND ID Orias ingin semua tahu bahwa proyek

smelter Freeport merugikan Reporter: Ridwan Nanda Mulyana | Editor:

Azis Husaini

HOLDING industri pertambangan BUMN alias Mining and Industry Indonesia (MIND ID) mengamini bahwa proyek smelter tembaga PT Freeport Indonesia (PTFI) merupakan proyek yang merugikan secara komersial.

Direktur Utama MIND ID Orias Petrus Moedak menyampaikan, saat ini terjadi kelebihan pasokan atau oversupply produk yang dihasilkan smelter tembaga. Kondisi itu membuat proyek smelter PTFI yang berlokasi di Java Integrated Industrial and Port Estate (JIIPE), Gresik, Jawa Timur tersebut disebut-sebut tidak akan memberi keuntungan.

"Di dunia memang oversupply, Jadi kalau kita bangun smelter tembaga, itu memang kondisi perhitungannya, memang proyek saat ini tidak menguntungkan," kata Orias saat ditemui di Gedung DPR RI, Selasa (29/9).

Orias mengatakan, pihaknya akan membahas bersama para pemegang saham terkait dengan kelanjutan proyek smelter PTFI tersebut. Dia berharap, ada titik temu antara keekonomian proyek tanpa menyalahi aturan yang sudah diwajibkan pemerintah.

"Cuma sekarang kita apakah mau terus apa nggak, ini kan pilihan komersial atau berdasarkan aturan, dua hal yang mesti didudukkan sama-sama," jelas Orias.

Yang terang, dia menegaskan pihaknya masih berupaya memenuhi ketentuan yang berlaku.

IMA-Daily Update Page 13

"Yes, the financial condition is like that, the agreement that we build. We will only comply with the rules. But so stakeholders know that this (smelter project) is a loss," he said.

Orias did not reveal in detail how MIND ID would expect the project to suffer losses. To be sure, he said that MIND ID would still carry out its obligations as the majority shareholder, so that it could have an impact on the distribution of dividends that would be received.

"We make a deposit that is our share, and that has an impact on the dividends we receive as well," he said.

Until now, the PTFI smelter project has stopped operating. The reason was that the covid-19 pandemic was hampered. "It stopped because of Covid. So it doesn't stop, but it is a loss," he concluded.

Previously, the PTFI copper smelter project was a costly project that was often echoed by PTFI President Director Tony Wenas. He revealed that the smelter would get income from the Treatment Charge and Refining Charge (TCRC).

Currently, TCRC prices, which are almost valid around the world, are in the range of US$ 20 cents - US$ 24 cents per ton of copper, the value of which has not changed in the last 20 years. However, in early March when the Covid-19 pandemic broke out, the price actually fell to the level of US$ 18 cent per ton.

Whereas with the copper smelter project that requires an investment of US$ 3 billion, Tony calculated that the TCRC value to be economically feasible must reach the level of US$ 60 cent per ton.

"Yes, it is a loss, I say profit is misleading. Meanwhile, if we smelt elsewhere, US$ 20 cent will be sufficient. So there will be a difference of...

"Ya, kondisi keuangan begitu, kesepakatan bahwa kita bangun. Kita akan sesuai aturan saja. Tapi supaya stakeholders tahu bahwa (proyek smelter) ini rugi," katanya.

Orias tak membeberkan secara rinci bagaimana dampak terharap MIND ID jika proyek tersebut merugi. Yang pasti, dia menyampaikan bahwa MIND ID tetap akan menjalankan kewajibannya sebagai peme-gang saham mayoritas, sehingga bisa ber-dampak terhadap pembagian dividen yang akan diterima.

"Kita lakukan setoran yang menjadi bagian kita, dan itu berdampak ke dividen yang kita terima juga," sebutnya.

Hingga sekarang, proyek smelter PTFI masih berhenti operasi. Dalihnya, ter-hambat pandemi covid-19. "Terhenti karena covid. Jadi bukan berhenti, tapi memang hitung-hitungan itu rugi ya," pungkasnya.

Sebelumnya proyek smelter tembaga PTFI adalah proyek yang merugikan sering didengungkan oleh Presiden Direktur PTFI Tony Wenas. Dia membeberkan bahwa smelter akan mendapatkan pemasukan dari Treatment Charge and Refining Charge (TCRC).

Saat ini, harga TCRC yang hampir berlaku di seluruh dunia berkisar di angka US$ 20 cent - US$ 24 cent per ton tembaga, yang nilainya itu tidak berubah dalam 20 tahun terakhir. Namun pada awal Maret saat pandemi covid-19 merebak, harganya malah turun ke level US$ 18 cent per ton.

Padahal dengan proyek smelter tembaga yang membutuhkan investasi US$ 3 miliar, Tony menghitung bahwa nilai TCRC agar layak secara keekonomian harus mencapai level US$ 60 cent per ton.

"Ya memang rugi, kalau proyek rugi saya bilang untung kan menyesatkan. Sedangkan kalau kita smelt di tempat lain, kan US$ 20 cent cukup. Jadi akan ada selisih...

IMA-Daily Update Page 14

So there will be a difference of US$ 40 cent which must be borne by PTFI," said Tony,

September 4, 2020 ago.

If calculated, the difference could reach US$ 300 million per year. Calculating the

period of PTFI's permit for the next 20 years, the cumulative difference will be

around US$ 6 billion. "Coupled with the construction of US$ 3 billion, approxi-

mately US$ 10 billion," said Tony.

Just so you know, PTFI's copper smelter construction progress is still far below the

target. Until July 2020, the smelter construction progress had only reached

5.86%, below the target set at 10.5%.

Under the pretext of this pandemic

condition, Tony still requested that the smelter construction and operation

schedule be postponed by one year from the target to be completed in 2023.

"Delayed 12 months," he pleaded.

Jadi akan ada selisih US$ 40 cent yang harus menjadi beban PTFI," ungkap Tony, 4 September 2020 lalu.

Jika dihitung, selisih tersebut bisa mencapai US$ 300 juta per tahun. Menghitung masa izin PTFI selama 20 tahun ke depan, maka secara kumulatif selisih itu akan menjadi sekitar US$ 6 miliar. "Ditambah dengan pem-bangunan sebesar US$ 3 miliar, kira-kira US$ 10 miliar," jelas Tony.

Asal tahu saja, progres pembangunan smelter tembaga PTFI masih jauh di bawah target. Hingga Juli 2020, progres pem-bangunan smelter baru mencapai 5,86%, di bawah target yang telah ditetapkan sebesar 10,5%.

Dengan dalih kondisi pandemi ini, Tony pun tetap masih meminta agar jadwal pem-bangunan dan pengoperasian smelter bisa ditunda hingga satu tahun dari target untuk selesai pada tahun 2023. "Mundur 12 bulan," pintanya.

Adaro Wins 5 Awards from the Ministry of EMR

Pebrianto Eko Wicaksono

PT ADARO Indonesia won five awards for

the application of mineral and coal mining engineering principles, from the Ministry

of Energy and Mineral Resources (MEMR).

EMR Minister Arifin Tasrif said the

companies receiving the award in the event of implementing mineral and coal

mining engineering principles could be a reference and an example in the

application of mining engineering principles.

Adaro Raih 5 Penghargaan dari Kementerian ESDM Pebrianto Eko Wicaksono

PT ADARO Indonesia meraih l ima

penghargaan penerapan kaidah teknik pertambangan mineral dan batubara, dari Kementerian Energi Sumber Daya Mineral (ESDM).

Menteri ESDM Arifin Tasrif mengatakan, perusahaan-perusahaan penerima penghargaan dalam ajang penerapan kaidah teknik pertambangan mineral dan batubara, dapat menjadi acuan dan contoh dalam penerapan kaidah teknik pertam-bangan.

IMA-Daily Update Page 15

"I appreciate the holding of this event with the hope that this can become a real

benchmark for the management of mining engineering principles for other mining

business entities," said Arifin, in Jakarta, Tuesday (30/9/2020).

The awarding of this award is expected to

be a motivation and motivation for the Heads of Mining Engineering to be able to

achieve the highest possible creation in Mining Technical management, Mining

Safety Management, Mining Environmental Management, Conservation Management

and Standardization Management and Mineral and Coal Mining Services Business.

The achievement award for the application

of good mineral and coal mining engineering principles is a routine activity

from the Ministry of EMR, Directorate General of Mineral and Coal. One company

that received an award at the event was Adaro Energy.

5 Awards

Adaro Indonesia won five awards, namely the best application of good mining

engineering principles in the coal commodity group, the technical aspects of

mining, the safety of mining, the environ-mental management, and the conservation

of minerals and coal.

This award complements Adaro's achievement in implementing Good Mining

Practices.

In early 2020, Adaro also received the

2019 Gold PROPER award for the second time and demonstrated outstanding

company performance, more than what the government requires (beyond compliance)

in terms of environmental management.

"Saya memberikan apresiasi terhadap penyelenggaraan acara ini dengan menaruh harapan bahwa hal ini dapat menjadi benchmark yang nyata bagi pengelolaan kaidah teknik pertambangan untuk badan usaha pertambangan lainnya," kata Arifin, di Jakarta, Selasa (30/9/2020).

Pemberian penghargaan ini diharapkan dapat menjadi pendorong serta memberi motivasi kepada para Kepala Teknik Tambang untuk dapat mencapai preatasi setinggi-tingginya dalam pengelolaan Teknis Pertambangan, Pengelolaan Keselamatan Pertambangan, Pengelolaan Lingkungan Hidup Pertam-bangan, Pengelolaan Konser-vasi dan Penge-lolaan Standardisasi dan Usaha Jasa Pertam-bangan Mineral dan Batu-bara.

Penghargaan prestasi penerapan Kaidah teknik pertambangan mineral dan batubara yang baik ini merupakan kegiatan rutin dari Kementerian ESDM Direktorat Jenderal Mineral dan Batubara. Salah satu perusaha-an yang mendapat penghargaan dalam ajang tersebut adalah Adaro Energy.

5 Penghargaan

Adaro Indonesia meraih lima penghargaan, yaitu terbaik penerapan kaidah teknik pertambangan yang baik kelompok komo-ditas batubara, aditama aspek teknis pertambangan, aditama aspek keselamatan pertambangan, aditama pengelolaan ling-kungan, serta aditama aspek konservasi mineral dan batubara.

Penghargaan ini melengkapi pencapaian Adaro dalam penerapan tatakelola pertam-bangan yang baik atau Good Mining Practices .

Pada awal 2020, Adaro pun menerima penghargaan PROPER Emas 2019 untuk kedua kalinya dan menunjukkan kinerja perusahaan yang luar biasa, lebih dari yang dipersyaratkan pemerintah (beyond compliance) dalam hal pengelolaan ling-kungan hidup.

IMA-Daily Update Page 16

J Resources Subsidiary Wins Mining Sector Award

Red: Nidia Zuraya

THE HIGH commitment of PT J Resources Asia Pasifik, Tbk (PSAB) in implementing good and correct mining principles (Good Mining Practices) has produced sweet results. Today's subsidiary, PT J Resources Bolaang Mongondow, received the Best Trophy in the Application of Good Mining Engineering Principles for the mineral commodity group.

The highest award in the mineral sector was given directly by the Director General of Minerba Ridwan Djamaluddin and witnessed virtually by the Minister of EMR Arifin Tasrif in Jakarta, Tuesday (29/9) night.

PSAB President Director Edi Permadi, who received Thropy, said he was proud of this achievement. "This is the fruit of the cooperation of all teams. We always place safety and good environmental governance as a priority. The fruit of this commitment, we receive this appreciation. This will spur us to be even better in the future," he said in a written press statement, Wednesday (30/9).

Edi also admitted that it was not easy to operate during the Covid-19 pandemic. This situation presents its own challenges, so it is not easy to maintain the sustainability of production. "However, we are trying to keep production in line with the mining plan in the main ridge area and Campsite in the Bakan area," he said.

On the same day, two PSAB subsidiaries also won awards from the Association of Indonesian Geologists (IAGI) at the IAGI Exploration Awards 2020. PT Arafura Surya Alam (ASA)...

Anak Usaha J Resources Raih Penghargaan Sektor

Pertambangan Red: Nidia Zuraya

KOMITMEN tinggi PT J Resources Asia

Pasifik, Tbk (PSAB) dalam menerapkan kaidah pertambangan yang baik dan benar (Good Mining Practices) berbuah manis. Anak usahanya PT J Resources Bolaang Mongondow hari ini mendapatkan Thropy (Terbaik) dalam Penerapan Kaidah Teknik Pertambangan yang Baik untuk Kelompok komoditas mineral.

Penghargaan tertinggi di sektor mineral ini diberikan langsung oleh Bapak Dirjen Minerba Ridwan Djamaluddin dan di-saksikan secara Virtual oleh Menteri ESDM Arifin Tasrif di Jakarta, Selasa (29/9) malam.

Presdir PSAB Edi Permadi yang menerima Thropy mengaku bangga dengan capaian ini. “Ini buah dari kerja sama semua tim. Kami selalu menempatkan aspek keselamatan dan tata kelola lingkungan yang baik sebagai prioritas. Buah dari komitmen ini, kami mendapat apresiasi ini. Ini akan memacu kami untuk lebih baik lagi ke depan,” tuturnya dalam keterangan pers tertulis, Rabu (30/9).

Edi juga mengakui tidak mudah beroperasi di masa pandemi Covid-19. Situasi ini memberi tantangan tersendiri, sehingga bukan hal mudah menjaga sustainability produksi. “Namun demikian kami berusaha untuk tetap menjaga produksi agar sesuai dengan rencana penambangan di area main ridge dan Campsite di area Bakan,” ujarnya.

Di hari yang sama dua anak usaha PSAB juga berhasil meraih penghargaan dari Ikatan Ahli Geologi Indonesia (IAGI) dalam ajang IAGI Exploration Awards 2020. PT Arafura Surya Alam (ASA)...

IMA-Daily Update Page 17

PT Arafura Surya Alam (ASA) for the category as Best Technical Discovery. Then

PT J Resources Bolaang Mongondow (JRBM) for the Best People Development

category.

Focus on developing assets

In addition, together with the Central

Government, Regional Governments and law enforcers who are very supportive of

the company, they have also started the initial mining process in the Jalina and

Tapagale areas which are also under the Contract of Work of PT J Resources

Bolaang Mangondow.

In terms of mineral conservation, the PSAB

subsidiary in Penjom, Malaysia has successfully implemented a better flotation

process. With this technology the company can recover minerals in the tailing facility.

"This technology that we have prepared is

also to answer the challenge of utilizing waste to extract low levels of minerals and

process the rest into dry tail which will be more environmentally compliant," he said.

Apart from the Bakan site in North Sulawesi Province, PSAB also processes a

gold mine in Seruyung, North Kalimantan which is managed by PT Sago Prima

Pratama and then a gold mine in Penjom-Malaysia.

"We are also in the process of preparing PT ASA construction for additional production

in the fourth quarter of 2021 with production equivalent to Bakan. In

addition, we are also temporarily conducting green field projects in

Bolangitang and Bulangidun. Then the Pani mine is also in the stage of detailed

discussions with PT Merdeka Copper Gold, Tbk and the Government," he said.

PT Arafura Surya Alam (ASA) untuk kategori sebagai Best Technical Discovery. Kemudian PT J Resources Bolaang Mongondow (JRBM) untuk kategori Best People Development.

Fokus kembangkan aset

Selain itu bersama Pemerintah Pusat, Pemda dan penegak hukum yang sangat mendukung perusahaan juga mulai melakukan proses awal penambangan di area Jalina dan Tapagale yang juga berada di Kontrak Karya PT J Resources Bolaang Mangondow.

Dalam hal konservasi mineral, anak per-usahaan PSAB yang ada di Penjom, Malaysia telah berhasil melakukan imple-mentasi flotation process yang lebih baik. Dengan teknologi ini perusahaan dapat me- recover mineral yang ada di tailing facility.

“Teknologi ini yang kita siapkan juga untuk menjawab tantangan pemanfaatan limbah untuk dapat di ekstrak mineral kadar rendahnya dan mengolah sisanya menjadi dry tail yang akan lebih comply ke ling-kungan,” ujarnya.

Selain di site Bakan Provinsi Sulawesi Utara, PSAB juga mengolah tambang emas di Seruyung, Kalimantan Utara yang dikelola oleh PT Sago Prima Pratama dan kemudian tambang emas di Penjom- Malaysia.

“Kami juga sementara melakukan proses persiapan konstruksi PT ASA untuk tambahan produksi di Kuartal IV- 2021 dengan produksi equivalen dengan Bakan. Selain itu kita juga sementara melakukan green field project di Bolangitang dan Bulangidun. Lalu tambang Pani juga dalam tahapan pembicaraan detail dengan PT Merdeka Copper Gold, Tbk dan Peme-rintah,” tuturnya.

IMA-Daily Update Page 18

Antam Collaborates with Regional Government of Papua to Work on Wabu Gold Mine, Estimated Capex

of US$ 1.4 billion Reporter: Ridwan Nanda Mulyana | Editor:

Herlina Kartika Dewi

PT ANEKA Tambang Tbk (ANTM) was

assigned to manage the Wabu Block. Holding the state-owned mining company, Mining and Industry Indonesia (MIND ID) ensures that it will collaborate with the Regional Government (Pemda) of Papua in managing the gold mine as a result of shrinking the PT Freeport Indonesia (PTFI) area.

President Director of MIND ID Oria Petrus Moedak said that after receiving the results of the shrinkage of the PTFI area which was then returned to the central government, the Papua Regional Government wanted the management of the Wabu Block through cooperation with SOE.

Then, the Governor of Papua has also sent a letter to the Ministry of SOE and MIND ID to apply for cooperation in working on the gold mine.

"The structure of our regulation is like that, the local government hands over the areas that are included as mining areas to the central government for a determination. The local government has also proposed cooperation with MIND ID," said Orias when met at the DPR RI Building, Tuesday (29/9).

Considering that the Wabu Block mining commodity is gold, SOE Minister Erick Thohir has assigned Antam to work on it.

"As directed by the SOE Minister, it will be handed over to Antam because Antam has always been an expert in handling gold," continued Orias.

Antam gandeng Pemda Papua garap tambang emas Wabu,

estimasi capex US$ 1,4 miliar Reporter: Ridwan Nanda Mulyana | Editor:

Herlina Kartika Dewi

PT ANEKA Tambang Tbk (ANTM) ditugas-

kan untuk mengelola Blok Wabu. Holding perusahaan tambang BUMN, Mining and Industry Indonesia (MIND ID) memastikan pihaknya akan menggandeng Pemerintah Daerah (Pemda) Papua dalam pengelolaan tambang emas hasil penciutan wilayah PT Freeport Indonesia (PTFI) tersebut.

Direktur Utama MIND ID Oria Petrus Moedak menyampaikan, setelah menerima hasil penciutan wilayah PTFI yang kemudian di-kembalikan kepada pemerintah pusat, Pemda Papua menginginkan pengelolaan Blok Wabu melalui kerjasama dengan BUMN.

Kemudian, Gubernur Papua juga telah mengi-rimkan surat kepada Kementerian BUMN dan MIND ID untuk mengajukan kerjasama dalam menggarap tambang emas tersebut.

"Struktur aturan kita begitu, Pemda menye-rahkan wilayah yang masuk sebagai wilayah tambang kepada pemerintah pusat untuk dilakukan penetapan. Pemda juga sudah mengusulkan untuk kerjasama dengan MIND ID," kata Orias saat ditemui di Gedung DPR RI, Selasa (29/9).

Mempertimbangkan komoditas tambang Blok Wabu yang merupakan emas, Menteri BUMN Erick Thohir menugaskan Antam untuk menggarapnya.

"Sesuai arahan dari Pak Menteri BUMN, itu akan diserahkan kepada Antam karena memang Antam ahlinya kan dari dulu yang mengurus emas," sambung Orias.

IMA-Daily Update Page 19

He has not yet revealed the scheme and portion of the cooperation between the Papua and Antam governments. He said, the details of the cooperation were still being discussed with the Papua Regional Government.

As an illustration, the scheme to be used is similar to a joint venture through the Papua Regional Owned Enterprises (ROE) in the distribution of shares in PTFI.

"The technicalities (cooperation) will be discussed with the Governor. Yes, we have collaborated with the Papua Regional Government in ownership of Freeport shares," explained Orias.

Currently, MIND ID is still waiting for the Wabu Block management decision from the Ministry of EMR. "The decision must be from the Minister of EMR, we will write to the Minister of EMR and answer the letter from the Governor of Papua," he added.

Although he has not disclosed the details of the potential and gold reserves contained in the Wabu Block, he confirmed that the gold potential there is quite promising. Previously, based on information received by Kontan.co.id, the potential for gold resources in the Wabu Block was said to be quite large, reaching 8.1 million troi ounces of gold ore. The value is estimated at around US$ 14 billion.

Orias neither denied nor confirmed this information. He did not provide a description of the potential value of the Wabu Block. However, Orias provides an overview of the capital expenditure (capex) that Antam must invest in working on the Wabu Block.

Orias said that, assuming the potential value of the Wabu Block was around US$ 14 billion, the estimated capex needed by Antam would be between 10 and 15 percent of that value.

Dia memang belum membeberkan bagai-mana skema dan porsi kerjasama antara Pemda Papua dan Antam. Katanya, detail kerjasama masih dibahas bersama Pemda Papua.

Sebagai gambaran, skema yang akan dipakai serupa dengan joint venture melalui Badan Usaha Milik Daerah (BUMD) Papua dalam pembagian porsi saham di PTFI.

"Teknis (kerjasama) nanti kita bahas dengan Pak Gubernur. Ya kan kami sudah kerjasama dengan Pemda Papua dalam kepemilikan saham Freeport," jelas Orias.

Saat ini, MIND ID masih menunggu ketetapan pengelolaan Blok Wabu dari Kementerian ESDM. "Penetapan kan harus dari Menteri ESDM, kami akan surati ke Menteri ESDM dan menjawab surat dari Gubernur Papua," imbuhnya.

Meski belum membuka detail potensi dan cadangan emas yang terkandung di Blok Wabu, namun dia memastikan bahwa potensi emas di sana cukup menjanji-kan. Sebelumnya, berdasarkan informasi yang sampai kepada Kontan.co.id, potensi sumber daya emas di Blok Wabu disebut cukup besar, yakni mencapai 8,1 juta troi ons bijih emas. Nilainya ditaksir mencapai sekitar US$ 14 miliar.

Orias tidak membantah maupun mem-benarkan informasi tersebut. Dia tidak memberikan gambaran mengenai nilai dari potensi Blok Wabu. Hanya saja, Orias memberikan gambaran mengenai belanja modal alias capital expenditure (capex) yang harus diinvestasikan Antam dalam menggarap Blok Wabu.

Orias mengatakan, dengan asumsi nilai potensi Blok Wabu sekitar US$ 14 miliar, maka estimasi capex yang dibutuhkan Antam berkisar diangka 10%-15% dari nilai tersebut.

IMA-Daily Update Page 20

"So if there is US$ 14 billion in circulation (the potential value of the Wabu Block), yes, the capex may be 10-15% of that," said Orias.

This means that at least Antam needs an investment of US$ 1.4 billion to work on the Wabu Block. The funding scheme that Antam will use has not been disclosed, but Orias is sure that it will have no trouble obtaining funding for the management of the Wabu Block.

"We'll see on the D-Day, if the goods are good, it's easy to find money. The potential is there, so money is not a problem," he said.

Orias believes that Antam has the capacity to work on the Wabu Block despite the challenges in terms of infrastructure and terrain readiness. "That can be arranged, people can enter in closed land conditions, there is no problem," he concluded.

"Jadi kalau sempat beredar US$ 14 miliar (nilai potensi dari Blok Wabu), ya capex-nya mungkin 10%-15% dari itu," ungkap Orias.

Artinya, paling tidak Antam membutuhkan investasi sebesar US$ 1,4 miliar untuk bisa menggarap Blok Wabu. Skema pendanaan yang akan digunakan Antam belum di-beberkan, tapi Orias yakin pihaknya tidak akan kesulitan untuk meraih pendanaan dalam pengelolaan Blok Wabu.

"Kita lihat nanti pas Hari H, kalau barangnya bagus, kan gampang nyari duit. Potensinya ada, jadi uang tidak masalah," sebutnya.

Orias yakin Antam memiliki kapasitas untuk menggarap Blok Wabu kendati ada tantangan dari sisi kesiapan infrastruktur dan medan yang cukup berat. "Itu kan bisa diatur, orang bsia masuk di kondisi lahan tertutup,tidak ada masalah," pungkasnya.

Agincourt Resources Commitment to Improve Exploration Performance

Yurika

PT AGINCOURT Resources (PTAR), the

manager of the Martabe Gold Mine in Batangtoru, South Tapanuli won three awards at the Award for Achievement for the Application of Good Principles for Mineral and Coal Mining Engineering 2020 held by the Directorate General (Ditjen) of Mineral and Coal, Ministry of Energy and Mineral Resources (MEMR), Tuesday (29/9).

Apart from winning an award from the Directorate General of Mineral and Coal, PTAR also won the Best Exploration Commitment award for the mineral mining company category at the Association of Indonesian Geologists (IAGI) Exploration Awards 2020 which was held on the same day, face-to-face and virtual, in Jakarta.

Agincourt Resources Komitmen Tingkatkan Kinerja Eksplorasi

Yurika

PT AGINCOURT Resources (PTAR),

pengelola Tambang Emas Martabe di Batangtoru, Tapanuli Selatan meraih tiga penghargaan dalam ajang Penghargaan Prestasi Penerapan Kaidah Teknik Pertam-bangan Mineral dan Batubara yang Baik Tahun 2020 yang digelar oleh Direktorat Jenderal (Ditjen) Mineral dan Batubara Kementerian ESDM (KESDM), Selasa(29/9).

Selain meraih penghargaan dari Ditjen

Minerba, PTAR juga meraih penghargaan Best

Exploration Commitment untuk kategori

perusahaan tambang mineral pada Ikatan Ahli

Geologi Indonesia (IAGI) Exploration Awards

2020 yang digelar di hari yang sama melalui

tatap muka dan virtual, di Jakarta.

IMA-Daily Update Page 21

"This is a trigger and encouragement for us in the future to continue to be committed and responsible to improve our exploration performance going forward," said Katarina Siburian Hardono, Senior Manager Corporate Communications Agincourt Resources.

Arifin Tasrif, Minister of EMR, said that although in recent years the total cost of exploration in Indonesia was still low globally, there was an increase in exploration costs in 2019.

"To encourage the development of natural resources and increase investment in energy and minerals, in particular exploration activities, the government strives to continuously improve the investment climate and listen to the aspirations of various elements of society, entrepreneurs and experts in the field of energy and mineral resources," said Arifin in his speech virtual.

At the event organized by the Directorate General of Mineral and Coal, Ministry of EMR, Agincourt Resources won one Main Award (silver) for the category of Mineral Mining Environmental Management (for Contract of Work Permit Holders), as well as two Pratama (Bronze) awards for the category of Mineral Mining Safety Manage-ment & Standardization Management and Service Business. Mining.

Darryn McClelland, Operations Director of PT Agincourt Resources, said specifically for the environmental aspect, environmental management planning at the Martabe Gold Mine had been initiated even before the project started, namely by implementing a comprehensive environmental monitoring program and various environmental impact studies. Several areas of environmental management in the operation of the Martabe Gold Mine include water management, waste management, land rehabilitat ion and protection of biodiversity.

“Ini menjadi pemicu serta penyemangat kami ke depannya untuk terus memegang komitmen dan bertanggung jawab meningkatkan kinerja eksplorasi kami ke depannya,” kata Katarina Siburian Hardono, Senior Manager Corporate Communications Agincourt Reources.

Arifin Tasrif, Menteri ESDM, mengatakan bahwa Meskipun dalam beberapa tahun terakhir ini total biaya eksplorasi di Indonesia masih rendah secara global namun terdapat peningkatan biaya eksplorasi di 2019.

“Untuk mendorong pengembangan sumber daya alam dan peningkatan investasi energi dan mineral, khususnya kegiatan eksplorasi, pemerintah berupaya terus menerus mem-perbaiki iklim investasi serta mendengarkan aspirasi dari berbagai element masyarakat, pengusaha dan para ahli di bidang energi dan sumber daya mineral,” kata Arifin dalam sambutan virtual.

Pada event yang diselenggarakan Ditjen Minerba KESDM, Agincourt Resources mem-boyong satu Penghargaan Utama (perak) untuk kategori Pengelolaan Lingkungan Pertambangan Mineral (untuk Pemegang Izin Kontrak Karya), serta dua penghargaan Pratama (Perunggu) untuk kategori Penge-lolaan Keselamatan Pertambangan Mineral & Pengelolaan Standardisasi dan Usaha Jasa Pertambangan.

Darryn McClelland, Direktur Operasional PT Agincourt Resources, mengatakan khusus utk aspek lingkungan, perencanaan penge-lolaan lingkungan di Tambang Emas Martabe telah diinisiasi bahkan sebelum proyek dimulai, yakni dengan penerapan program pemantauan lingkungan komprehensif dan berbagai studi dampak lingkungan. Beberapa lingkup pengelolaan lingkungan di operasi-onal Tambang Emas Martabe diantaranya pengelolaan air, pengelolaan limbah, reha-bilitasi lahan dan perlindungan terhadap keanekaragaman hayati.

IMA-Daily Update Page 22

"The company maintained the achieve-ments of effective environmental compliance management in 2019. The company complied with laws and regulations regarding the environment and there were no incidents of environmental non-compliance throughout 2019," said Darryn.

In terms of work safety aspects, the Martabe Gold Mine always strives to improve health and safety performance in accordance with best practices in the mining industry.

Regarding the award for the category of Management of Service Standardization and Mining Business, PTAR has a policy to support local suppliers, particularly in relation to the purchase of goods and services while paying attention to cost and compliance with quality. At the end of 2019, PTAR recorded that it had 776 active suppliers, of which 100 or 13% were local suppliers (an increase from 9% in 2018).

The awarding of Achievement Assessment for the Application of Good Mineral and Coal Mining Techniques for the first time was held for the first time in 2020. But the history of awarding goes back a long time. Mineral and coal Mining Safety Manage-ment Achievement Award has been held since 1992, Mineral and Coal Mining Environ-mental Management Achievement Award has been held since 2004, Mining Service Business Management Achievement Award has been held since 2018, while Mineral and Coal Mining Technical Management Achievement Award and the Mineral and Coal Conservation Manage-ment Achievement Award just started this year.

Ridwan Djamaluddin, Director General of Mineral and Coal at the Ministry of EMR, conveyed that the objective of giving the Award for the Application of Good Mineral and Coal Mining Technique Practices is...

“Perusahaan mempertahankan capaian manajemen kepatuhan lingkungan yang efektif di tahun 2019. Perusahaan mematuhi peraturan perundang-undangan tentang lingkungan hidup dan tidak ada insiden ketidakpatuhan lingkungan sepanjang tahun 2019,” kata Darryn.

Dalam hal aspek keselamatan kerja, Tambang Emas Martabe senantiasa berupaya mening-katkan kinerja kesehatan dan keselamatan sesuai praktik terbaik dalam industri pertam-bangan.

Terkait penghargaan kategori Pengelolaan Standardisasi Jasa dan Usaha Pertambangan, PTAR memiliki kebijakan untuk mendukung pemasok lokal, khususnya terkait pembelian barang dan jasa dengan tetap memperhatikan biaya dan pemenuhan kualitas. Pada akhir tahun 2019, PTAR mencatat memiliki 776 pemasok aktif, di antaranya 100 atau 13% merupakan pemasok lokal (meningkat dari tahun 2018 yang hanya 9%).

Pemberian Penghargaan Penilaian Prestasi Penerapan Kaidah Teknik Pertambangan Mineral dan Batubara Yang Baik untuk pertama kali baru diadakan pada tahun 2020 ini. Namun sejarah pemberian penghargaan telah dimulai sejak lama. Penghargaan Prestasi Pengelolaan Keselamatan Pertam-bangan mineral dan batubara telah diadakan sejak tahun 1992, Penghargaan Prestasi Pengelolaan Lingkungan Hidup Pertam-bangan Mineral dan Batubara telah diadakan sejak tahun 2004, Penghargaan Prestasi Pengelolaan Usaha Jasa Pertambangan telah diadakan sejak tahun 2018, sedangkan Penghargaan Prestasi Pengelolaan Teknis Pertambangan Mineral dan Batubara dan Penghargaan Prestasi Pengelolaan Konservasi Mineral dan Batubara baru dimulai tahun ini.

Ridwan Djamaluddin, Dirjen Minerba Kementerian ESDM, menyampaikan tujuan pemberian Penghargaan Penerapan Kaidah Teknik Pertambangan Mineral dan Batubara Yang Baik adalah...

IMA-Daily Update Page 23

conveyed that the objective of giving the Award for the Application of Good Mineral and Coal Mining Technique Practices is the motivation and motivation for the Heads of Mining Engineering to achieve the highest achievement in Mining Technical manage-ment, Mining Safety Management, Mining Environmental Management, Conservation Management and Manag ement of Standardization and Mineral and Coal Mining Services Business.

The Mineral and Coal Mining Safety and Environmental Management Award activities are divided into several stages, namely the initial or administrative assessment stage, then the field verification or evaluation stage and the third stage of the final assessment or evaluation. This assessment involved Mine Inspectors and experts from the Department of Occupational Safety and Health - UI Public Health Faculty, IPB Forestry Faculty, IPB Environmental Research Center, IPB Mine Reclamation Study Center.

Meanwhile, in the awarding of the IAGI Exploration Awards 2020 which was first held, Agincourt Resources was awarded the Best Exploration Commitment award for the mineral commodity sector. This category is seen from the exploration plan versus the realization of exploration activities as evidenced by the Work Plan and Budget (RKAB) data, the period of continuous exploration activities and an increase in the exploration stage. In this event, PTAR was also nominated for the Best People Development and Best Discovery categories.

Sukmandaru Prihatmoko, Chairperson of IAGI, said that the awarding of this award is expected to maintain the company's commitment to natural resource exploration activities in Indonesia so as to encourage the discovery of new reserves and maintain a stable balance of mineral and coal, oil and gas and geothermal resources. (RA)

menyampaikan tujuan pemberian Peng-hargaan Penerapan Kaidah Teknik Pertam-bangan Mineral dan Batubara Yang Baik adalah pendorong serta pemberi motivasi kepada para Kepala Teknik Tambang untuk mencapai prestasi setinggi-tingginya dalam pengelolaan Teknis Pertambangan, Penge-lolaan Keselamatan Pertambangan, Penge-lolaan Lingkungan Hidup Pertambangan, Pengelolaan Konservasi dan Pengelolaan Standardisasi dan Usaha Jasa Pertambangan Mineral dan Batubara.

Kegiatan Penghargaan Pengelolaan Kese-lamatan dan Lingkungan Pertambangan Mineral dan Batubara dibagi dalam beberapa tahap, yaitu tahap penilaian awal atau administrasi , lalu tahap verifikasi atau evaluasi lapangan dan ketiga tahap penilaian atau evaluasi akhir. Penilaian ini melibatkan para Inspektur Tambang dan tenaga ahli yang berasal dari Departemen Keselamatan dan Kesehatan Kerja – Fakultas Kesehatan Masyarakat UI, Fakultas Kehutanan IPB, Pusat Penelitian Lingkungan Hidup IPB, Pusat Studi Reklamasi Tambang IPB.

Sementara itu, dalam penganugerahan IAGI Exploration Awards 2020 yang pertama kali digelar, Agincourt Resources dianugerahi peng-hargaan Best Exploration Commitment untuk sektor komoditi mineral. Kategori ini dilihat dari rencana eksplorasi versus realisasi kegiatan eksplorasi yang dibuktikan dari data Rencana Kerja dan Anggaran Biaya (RKAB), periode kegiatan eksplorasi yang sifatnya continue serta adanya peningkatan tahapan eksplorasi. Dalam ajang ini, PTAR juga masuk dalam nominasi untuk kategori Best People Development dan Best Discovery.

Sukmandaru Prihatmoko, Ketua Umum IAGI, menyatakan penganugerahan penghargaan ini diharapkan bisa menjaga komitmen perusahaan terhadap kegiatan eksplorasi sumberdaya alam di Indonesia sehingga mendorong penemuan-penemuan cadangan baru serta menjaga kestabilan neraca sumberdaya minerba, migas serta panas bumi. (RA)

IMA-Daily Update Page 24

Coal Shot 17% in September, What's the Strong Medicine?

Tirta Citradi, CNBC Indonesia

THE PRICE of Newcastle thermal coal still

has the strength to strengthen. Coal prices

for contracts that are actively traded in the market are now at their highest level in the

last five months.

In yesterday's trade, Wednesday (30/9/

2020), coal prices closed with a streng-thening of 0.73% to US$ 61.85/ton. This is

the highest price since April 7, 2020. Throughout September the price of coal

has shot up 17.25%.

However, if calculated from its lowest

point since last September 7, the price of this commodity has strengthened 23.9%.

Meanwhile, during the third quarter, coal prices appreciated 15.8% and throughout

the year it still dropped 10.4%.

The recent increase in coal prices was

triggered by positive sentiment from China and India. In China, the domestic bench-

mark coal price, Qinhuangdao, for calories of 5,500 Kcal/Kg, rose 1.5% last week to

RMB 599/ton or US$ 87.91/ton.

This price is above the green zone, which is

the informal price target set by the government of the Bamboo Curtain

country. This price range is the level at which mining and utility companies can

still maintain their margins or profits.

However, the already very high price has

made interest in seaborne coal imports to increase because the price is cheaper. Just

imagine...

Batu Bara Melesat 17% di September, Obat Kuatnya Apa

Sih? Tirta Citradi, CNBC Indonesia

HARGA batu bara termal Newcastle masih

punya tenaga untuk menguat. Harga batu bara untuk kontrak yang aktif ditransaksikan di pasar kini berada di level tertingginya dalam lima bulan terakhir.

Pada perdagangan kemarin, Rabu (30/9/ 2020), harga batu bara ditutup dengan penguatan 0,73% ke US$ 61,85/ton. Ini merupakan harga tertinggi sejak 7 April 2020 lalu. Sepanjang bulan September harga batu bara telah melesat 17,25%.

Namun jika dihitung dari titik terendahnya sejak 7 September lalu, harga komoditas ini sudah menguat 23,9%. Sementara di sepanjang kuartal ketiga harga batu bara terapresiasi 15,8% dan sepanjang tahun berjalan masih drop 10,4%.

Kenaikan harga batu bara belakangan ini dipicu oleh sentimen positif yang datang dari China dan India. Di China, harga batu bara patokan domestiknya yaitu Qinhuangdao untuk kalori 5.500 Kcal/Kg naik 1,5% pekan lalu ke RMB 599/ton atau US$ 87,91/ton.

Harga tersebut sudah berada di atas green zone yang merupakan target harga informal yang dipatok oleh pemerintah Negeri Tirai Bambu. Rentang harga tersebut merupakan level di mana perusahaan tambang dan utilitas masih bisa menjaga margin atau labanya.

Namun harga yang sudah terlampau sangat tinggi ini membuat minat impor batu bara lintas laut (seaborne) menjadi meningkat karena harganya lebih murah. Bayangkan saja...

IMA-Daily Update Page 25

Just imagine the price of Newcastle spot

thermal coal on Friday last we ek

(25/9/2020) was pegged at US$ 52.8/ton

for Kcal/Kg calories.

This has also led to rumors that China will

again loosen its import quotas. Of course

this has a positive impact on the price of

coal which has been depressed for a long

time. The potential for increased demand

and the spread that is too wide also raise

the price of cross-sea coal.

Bullish sentiment also emerged from India.

Reuters reported an increase in industrial

activity, especially in the western region of

India, made the output of coal-fired power

plants in India increase 9.4% in the first

half of September.

In total the country's electricity generation

output rose 1.6% on the first 15 days of

this month. Coal-fired power plants

accounted for 70% of India's electricity

output in 2019, according to the Central

Power Authority of India.

The share of fuel in power generation fell

by up to 60% during the coronavirus

lockdown, as use of renewable energy for

electricity generation increased.

The future movement of coal prices will be

largely determined by the movement of

China's domestic coal prices. If the

domestic supply is still tight while demand

continues to increase, the domestic coal

price will increase and will also raise the

price of imported coal. CNBC INDONESIA

RESEARCH TEAM (twg/twg)

Bayangkan saja untuk harga batu bara termal Newcastle spot pada Jumat pekan lalu (25/9/2020) dipatok di US$ 52,8/ton untuk kalori Kcal/Kg.

Hal ini juga yang membuat beredar isu bahwa China akan kembali melonggarkan kuota impornya. Tentu ini berdampak positif bagi harga batu bara yang sudah tertekan lama. Potensi kenaikan permin-taan dan selisih (spread) yang terlampau lebar turut mengerek harga batu bara lintas laut.

Sentimen bullish juga muncul dari India. Reuters melaporkan kenaikan aktivitas industri terutama di wilayah Barat India membuat output pembangkit listrik ber-bahan bakar batu bara India meningkat 9,4% pada paruh pertama bulan Septem-ber.

Secara total output pembangkit listrik negara tersebut naik 1,6% pada 15 hari pertama bulan ini. Pembangkit listrik berbahan bakar batu bara menyumbang 70% dari output listrik India pada 2019, menurut Otoritas Listrik Pusat India.

Porsi bahan bakar dalam pembangkit listrik turun hingga 60% selama pengun-cian virus korona, karena penggunaan energi terbarukan untuk pembangkit listrik meningkat.

Pergerakan harga batu bara ke depan akan sangat ditentukan oleh pergerakan harga batu bara domestik China. Apabila pasokan domestik masih ketat sementara per-mintaan terus meningkat, harga batu bara domestiknya akan naik dan juga akan ikut mengerek harga batu bara impor. TIM RISET

CNBC INDONESIA (twg/twg)

IMA-Daily Update Page 26

Copper price surges on booming Chinese factories Frik Els

COPPER leapfrogged the pivotal $3 a pound level on Wednesday after a key gauge of the

Chinese manufacturing sector, the world’s top consumer of the metal, showed new orders jumping to a nine-year high.

Copper for delivery in December trading on the Comex market in New York changed hands for $3.0415 a pound ($6,705 a tonne) in early afternoon trade, up 1.7% from Tuesday’s settlement.

Wednesday’s move brings gains for 2020 to 9.1% and 57% since the covid-19 lows struck in March. A fortnight ago, the bellwether metal reached the highest price since June 2018.

Domestic and export orders booming

Capital Economics said China’s September PMI readings suggest that “the economy is now entering a period of above-trend growth, which is indisputably good news for the prices of commodities, particularly industrial metals.”

Beijing’s official manufacturing PMI jumped to a more than a two year high of 51.5 (a reading above 50 indicates expansion), up from 51.0 in August, while the survey by Caixin, which gives a clearer picture of activity outside the state-owned sector, came in at 53.

Caixin’s new orders subindex expanded at a rate not seen since early 2011, while new export business expanded at the fastest rate (54.8) since August 2017, which bodes well for a recovery in manufacturing in the rest of the world.

The Wall Street Journal reported a measure from Citigroup that tracks end uses of copper in the country in various sectors, including auto and appliance makers, showing the three-month average reaching its highest level since early in 2017.

Metso to supply Australia’s largest Vertimill grinders Salomae Haselgrove

METSO Outotec is set to deliver two Vertimill VTM-4500 vertical stirred grinding mills to a

gold mine in Australia next year, the largest of their kind in an Australian installation.

The typical value for this type of order is between €10-€15 million ($16.3-$24.5 million) depending on the scope of delivery.

The vertical grinding mills provide lower total cost of ownership due to their high energy efficiency, reduced media consumption, low installation costs and minimal liner wear and maintenance, producing 50 per cent less footprint than a ball mill.

IMA-Daily Update Page 27

The Vertimill VTM-4500 is capable of handling feed sizes of up to six millimetres and grinding to products less than 20 microns.

It is available in standard mill sizes ranging from 15 horsepower (11 kilowatts) to 4500 horsepower (3352 kilowatts).

The robust design and lesser maintenance needs can result in up to 95 per cent or greater uptime, giving mining operations higher productivity and profitability.

Metso Outotec is the only manufacturer in the world that offers multiple stirred mill technologies, with Vertimill, HIG mill and SMD on offer.

This allows Metso Outotec to support companies with a mill that is most appropriate and efficient for their mining application.

Output from top copper producers down 3.7% in Q2 2020 – report MINING.com Editor

COPPER output from the world’s top ten producers declined by 3.7% year-on-year

collectively during the second quarter of 2020, according to GlobalData, a UK-based data analytics and consulting company.

Lockdowns across Chile, Peru and Mexico, including the closure of some of the world’s largest copper mines, were a key factor behind the decline, which saw total output drop from 2.7Mt

to 2.6Mt for the three-month period.

The largest decline in Q2 was observed from Glencore, where production fell 13.9% year-on-

year due to lower ore grades and disruptions caused by the covid-19 outbreak, particularly at the Antamina mine, which also reduced BHP’s output.

“Lower ore grades at BHP’s Pampa Norte (Spence and

Cerro Colorado mines), Antofagasta‘s Centinela

Concentrates and lower rates at KGHM’s Robinson

and Franke mines were key factors behind the

declines in the other major producers output during

the second quarter,” says GlobalData senior mining

analyst Vinneth Bajaj.

IMA-Daily Update Page 28

Major operating mines that were closed as a result of the pandemic for significant periods in Q2 include Chuquicamata, Cobre Panama, Antamina, Las Bambas and Cerro Verde. Development work was also halted at the Los Pelambres and El Teniente mines.

Overall copper production is forecast to drop by 1.5% this year to 20.3Mt, with steeper declines in Chile and Peru, GlobalData says.

While Chile was initially relatively unaffected at the start of the quarter, with Codelco having just to halt on-site construction activities at Chuquicamata and El Teniente, rising cases led to mounting pressure from workers and the temporary shutdown of Chuquicamata at the end of June. As a result, production in Chile is expected to decline by 2.3% in 2020.

“Although operating activities in Peru resumed at the end of May, covid-19 restrictions have disrupted the momentum of several copper mines, including the Las Bambas, Constancia, Toromocho and Cerro Verde, with production in Peru set to decline by 7.2% in 2020,” Bajaj adds.

New Metso Outotec Courier on-stream analyser could reduce gold losses

Posted by Daniel Gleeson

METSO Outotec is launching its next-generation Courier® 6G SL on-stream analyser for

direct measurement of gold, platinum and other valuable metal concentrations from ore feed, concentrate, and tailings streams.

The new analyser enables accurate real-time elemental analysis measurement critical for establishing efficient process control to improve process stability and maximise recovery, it

says.

It builds on the Outotec Courier 6X SL analyser with a more powerful X-ray tube and

measurement channels optimised for direct on-line measurement of gold and other elements from calcium to uranium, the company says. This makes it particularly suitable for

applications where gold is recovered with other metals such as silver or copper.

The system can measure up to 24 individual process streams – each with an individually

adjustable measurement time – to ensure optimal measurement accuracy and sampling frequency in even the most complex polymetallic flotation circuits. It can also provide direct

measurement of gold concentrations down to 0.2 g/t

The new next-generation on-stream analyser combines Wavelength Dispersive X-ray

Fluorescence and Energy Dispersive X-ray Fluorescence technologies with a high-power X-ray tube for unparalleled measurement performance, Metso Outotec claims. It also features

an automatic internal reference measurement for guaranteed stability under changing environmental conditions.

IMA-Daily Update Page 29

Lauri Veki, Metallurgist at Agnico Eagle’s Kittilä operation in Finland, said: “Agnico Eagle Kittilä has used the new on-stream analyser for flotation control and optimisation since

October 2019. Measurement information provided by the Courier 6G SL has enabled more efficient control of the pre-flotation circuit and helped to reduce gold losses.”

China's Shandong Gold to buy Xinjiang-focused miner Hengxing By Reuters

SHANDONG Gold Mining said on Wednesday it would buy Hengxing Gold Holding in an all-

stock deal worth around HK$3-billion ($387-million) that gives it control of the Gold Mountain mine in China's Xinjiang region.

The purchase continues a prolific acquisition spree for state-run Shandong Gold in a year that has seen it agree to pay a sweetened A$565.6-million ($403-million) for Ghana-focused Cardinal Resources and C$230-million ($172-million) for Canada's TMAC Resources.

The Chinese miner will take Hong Kong-based Hengxing private after acquiring all the target's equity by issuing up to 159.48-million Hong Kong shares, or 3.68% of Shandong Gold's current share capital, according to a Shanghai Stock Exchange filing.

Trading in Shandong Gold's shares was suspended earlier on Wednesday at HK$19.08, implying it could pay the equivalent of HK$3.04 billion in stock for the acquisition.

Shareholders in Hengxing Gold, which has a market capitalisation of HK$3.45 billion according to Refinitiv Eikon data, will receive 0.172 Shandong Gold shares for every Hengxing share, the filing said.

Open pit mining at Gold Mountain, which lies around 500 km (311 miles) west of Xinjiang's capital Urumqi in China's far northwest, began in 2013 and the project has annual processing capacity of 5 million tonnes of ore.

The mine had 41.66 million tonnes of gold ore and 45,570.24 kg of gold metal content at the end of 2018, at an average grade of 1.09 grams per tonne of gold, Shandong Gold said.

The company added that its Hong Kong shares would resume trading on Oct. 5, while its Shanghai-listed shares will resume on Oct. 9 after the Golden Week holiday in China.

South32 hands Worsley Alumina contracts to SRG Global Vanessa Zhou

SOUTH32 has awarded two contracts at the Worsley Alumina operation in Western Australia worth a combined value of around $125 million to SRG Global.

IMA-Daily Update Page 30

The first contract, which is worth around $100 million, involves the provision of refractory services for a period of eight years.

It includes gunning and casting and installation of refractory products and anchors. SRG will commence its work this month for a duration of eight years.

The second contract is a two-year extension of SRG Global’s engineered access services at Worsley Alumina, worth around $25 million. SRG Global will continue to provide these services until mid-2027.

SRG Global managing director David Macgeorge said these contracts were a terrific achievement for the company.

“… We are excited to be expanding our partnership with South32 to continue to deliver long-term value for their Worsley operations,” he said.

“This continues our focus on cross-selling our diverse capability to add value to key clients and our strategy of transitioning the earnings profile of the business to annuity style asset services contract.”

The Worsley Alumina operation is jointly owned by South32 (86 per cent), Japan Alumina Associates (10 per cent) and Sojitz Alumina (4 per cent).

It comprises the Boddington bauxite mine, an overland bauxite conveyor and the Worsley Alumina refinery.