Daily News Update Page 1

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Freeport will collaborate with Tsingshan to divert the copper smelter to Weda Bay, said IMA Freeport akan gandeng Tsingshan alihkan smelter tembaga ke Weda Bay, begini kata IMA Financial Expenses Press Darma Henwa's Net Profits Beban Keuangan Tekan Laba Bersih Darma Henwa NHM Management Investments in New Heavy Equipment, Employees Are More Enthusiastic, Exceeding Production Targets Manajemen NHM Investasi Alat Berat Baru, Karyawan Makin Semangat Lampaui Target Produksi China buys Indonesian coal, a subsidiary of MMS Group, to become one of the exporters China borong batubara Indonesia, anak usaha MMS Group jadi salah satu eksportir Build a New Smelter in Weda Bay, Freeport President Director: We Follow the Government's Direction Bangun smelter baru di Weda Bay, Presdir Freeport: Kami ikuti arahan pemerintah MIND ID Celebrates 3rd Anniversary by Organizing Charity Week MIND ID Rayakan HUT ke-3 dengan Selenggarakan Charity Week Bayan Resources (BYAN) Obtained 66 Percent of Coal Contracts for the 2021 Sales Target Bayan Resources (BYAN) Kantongi 66 Persen Kontrak Batu Bara untuk Target Penjualan 2021 Coal Production Amid the Pandemic Drops Produksi Batu Bara Ditengah Pandemo Anjlok Reluctant to Loosen, Coal Prices Are Closer to US$ 70/ton Again Ogah Kendor, Harga Batu Bara Mepet ke US$ 70/ton Lagi This Technology Is Able To Map Underground Water In Former Mining Areas Teknologi Ini Mampu Petakan Air Bawah Tanah di Bekas

Kontan Dunia Energi Harian Halmahera Kontan Kontan CNBC Indonesia Bisnis Kalimantan Post CNBC Indonesia Dunia Tambang

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Lahan Tambang China sends coal miners a message with 'symbolic' Indonesia pact Metso Outotec introduces a full line of mill discharge pumps for efficient slurry handling in the concentrator plants Indonesian miners sign $1.46B China coal deal Demand for Australian coal set to fall in China in 2021 Copper Mountain updates mine plan with 65,000 t/d mill expansion Lundin Mining forecasts 2021 copper production to jump 25% Australian coal exports face 'perfect storm' as China restrictions hit

Financial Review Australian Mining The Phnom Penh Post Global Times Mining.com Reuters WA Today

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Daily News Update Page 3

Freeport will collaborate with Tsingshan to divert the copper smelter to Weda Bay, said IMA Reporter: Ridwan Nanda Mulyana | Editor:

Khomarul Hidayat

THE TRADE-offs for the construction of PT Freeport Indonesia (PTFI) copper smelter is still continuing. The latest news is that PTFI will partner with a company from China, Tsingshan Steel, to work on a copper smelter in Weda Bay, Halmahera.

This option reportedly received support from the Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan. The copper smelter project in Weda Bay is targeted to complement the supply of nickel products to encourage the development of raw materials for lithium batteries.

The Indonesian Mining Association (IMA), also opened its voice regarding this option. IMA Acting Executive Director, Djoko Widajatno, assessed that the option to build a copper smelter by PTFI is feasible and worthy of consideration. Moreover, the infrastructure in the nickel smelter area is relatively well established.

"It's just the matter of licensing from the government. Infrastructure can be accepted. This option is the most likely solution," said Djoko to Kontan.co.id, Monday (30/11).

Djoko explained that there are at least three reasons why the options for constructing the PTFI and Tsingshan smelters in Weda Bay are worth considering. First, the smelter construction can be integrated in the nickel downstream area to be developed as raw material for lithium batteries or electric vehicles.

Freeport akan gandeng Tsingshan alihkan smelter tembaga ke Weda Bay, begini kata IMA

Reporter: Ridwan Nanda Mulyana | Editor: Khomarul Hidayat

TARIK ulur pembangunan smelter tembaga PT Freeport Indonesia (PTFI) masih terus berlanjut. Kabar terbaru, PTFI bakal menggandeng perusahaan asal China, Tsingshan Steel, untuk menggarap smelter tembaga di Weda Bay, Halmahera.

Opsi ini kabarnya mendapat dukungan dari Menteri Koordinator Bidang Kemaritiman dan Investasi, Luhut Binsar Pandjaitan. Proyek smelter tembaga di Weda Bay ditargetkan bisa melengkapi pasokan produk nikel untuk mendorong pem-bangunan bahan baku baterai lithium.

Asosiasi Pertambangan Indonesia alias Indonesia Mining Association (IMA) pun buka suara terkait opsi ini. Pelaksana Harian Direktur Eksekutif IMA Djoko Widajatno menilai, opsi pembangunan smelter tembaga PTFI memungkinkan dan layak untuk dipertimbangkan. Apalagi, infrastruktur di kawasan smelter nikel itu relatif sudah mapan.

"Tinggal masalah perizinan dari pemerintah. Kalau dari infrastruktur dapat dipersilakan. Opsi tersebut merupakan penyelesaian yang paling mungkin dilakukan," kata Djoko kepada Kontan.co.id, Senin (30/11).

Djoko membeberkan, setidaknya ada tiga alasan opsi pembangunan smelter PTFI dan Tsingshan di Weda Bay menjadi layak untuk dipertimbangkan. Pertama, pem-bangunan smelter bisa terintegrasi di kawasan hilirisasi nikel untuk dikembang-kan sebagai bahan baku baterai lithium atau kendaraan listrik.

Daily News Update Page 4

Second, this option can be a solution so that PTFI will continue to build a new copper smelter, so that the obligation to increase domestic added value can be fulfi lled. Third, from a geo -political perspective, Djoko considered that the cooperation between PTFI and Tsingshan could form a balance between investment coming from the United States (US) and China.

"With all the risks, geopolitically this forms a balance of economic power between the US and China in the ASEAN region. So that the opportunity for Indonesia to accelerate the growth of basic industries. It must be maintained so that investment in Weda Bay yields positive results for Indonesia," said Djoko.

For information, citing the Asia Times, PT Freeport Indonesia (PTFI) discussed cooperation with Tsingshan Steel China to build a copper smelter worth US$ 1.8 billion in the nickel processing complex in Weda Bay, Halmahera.

In an interview with Asia Times, Coor-dinating Minister Luhut hopes that the agreement can be signed before next March. "We are happy with the agreement. But the two sides are still in detailed discussions," he said.

Tsingshan is reported to have agreed to complete the copper smelter within 18 months. With Tsingshan also planning to complete a lithium battery plant in Weda Bay by 2023, the new copper smelter will provide the sulfuric acid needed to produce low-grade ferronickel for the stainless steel market and also to recover cobalt from used lithium batteries.

Freeport copper will also be a source of cables and other spare parts for the electric car industry. According to one expert estimate,...

Kedua, opsi ini bisa menjadi solusi agar PTFI tetap membangun smelter tembaga baru, sehingga kewajiban peningkatan nilai tambah di dalam negeri bisa terpenuhi. Ketiga, dari segi geo-politik, Djoko menilai bahwa kerjasama PTFI dan Tsingshan ini bisa membentuk keseimbangan antara investasi yang datang dari Amerika Serikat (AS) dan China.

"Dengan segala risiko, secara geopolitik ini membentuk keseimbangan kekuatan ekonomi, antara AS dan China dikawasan ASEAN. Sehingga kesempatan bagi Indonesia untuk mempercepat pertum-buhan Industri dasar. Harus dijaga agar unvestasi di Weda Bay membuahkan hasil positif bagi Indonesia," terang Djoko.

Sebagai informasi, mengutip Asia Times, PT Freeport Indonesia (PTFI) membahas kerjasama dengan Tsingshan Steel China untuk membangun smelter tembaga senilai US$ 1,8 miliar di kompleks pengolahan nikel di Weda Bay, Halmahera.

Dalam wawancara dengan Asia Times, Menko Luhut berharap kesepakatan tersebut bisa ditandatangani sebelum Maret mendatang. "Kami senang dengan kesepakatan tersebut. Tetapi kedua belah pihak masih dalam pembahasan rinci," katanya.

Tsingshan dikabarkan telah setuju untuk menyelesaikan smelter tembaga tersebut dalam waktu 18 bulan. Dengan Tsingshan yang juga berencana menyelesaikan pabrik baterai lithium di Weda Bay pada tahun 2023, pabrik peleburan tembaga baru akan menyediakan asam sulfat yang dibutuhkan untuk memproduksi feronikel kualitas rendah untuk pasar baja tahan karat dan juga untuk memulihkan kobalt dari baterai lithium bekas.

Tembaga Freeport juga akan menjadi sumber kabel dan suku cadang lainnya untuk industri mobil listrik. Menurut salah satu perkiraan ahli,...

Daily News Update Page 5

According to one expert estimate, battery electric vehicles use as much as 83 kilograms of copper, compared to 23 kilograms for an internal combustion engine.

On the other hand, Freeport concentrate transportation is not considered a major factor. The distance between the Freeport port in Timika on the southern coast of Papua to the Halmahera site is only 2,660 kilometers, compared to the 4,000 kilometer route to Gresik.

Even though the copper smelter in Gresik has not attracted many supporting industries in the last 20 years of operation, Luhut is still confident that it can attract foreign investors to Halmahera. Especially Chinese manufacturing companies looking to move offshore.

Kontan.co.id has contacted PTFI President Director Tony Wenas and PTFI Vice President Corporate Communication Riza Pratama. However, both of them still have not confirmed this matter.

To be sure, currently there are a number of options related to the construction of a PTFI copper smelter. Previously, Kontan.co.id reported that the option being discussed by the government was to reduce the capacity of PTFI's new copper smelter project located in JIIPE, Gresik, East Java. Capacity has been cut from 2 million tons of copper concentrate to 1.7 million tons.

However, the remaining 300,000 tons will be fulfilled by increasing the capacity at the existing copper smelter, at PT Smelting. "The important thing is 2 million tons. This is still being discussed, but the point is, the basic thing is 2 million tons," said Tony after attending the work meeting of the Minister of EMR with Commission VII DPR RI, last Monday (23/11).

Menurut salah satu pe rkiraan ahli, kendaraan listrik baterai menggunakan tembaga sebanyak 83 kilogram, diban-dingkan dengan 23 kilogram untuk mesin pembakaran internal.

Di sisi lain, pengangkutan konsentrat Freeport tidak dianggap sebagai faktor utama. Jarak antara pelabuhan Freeport di Timika di pantai selatan Papua ke situs Halmahera hanya 2.660 kilometer, di-bandingkan dengan jalur 4.000 kilometer ke Gresik.

Meskipun smelter tembaga di Gresik belum banyak menarik industri pen-dukung selama 20 tahun terakhir ber-operasi, Luhut masih yakin bisa menarik investor luar negeri ke Halmahera. Terutama perusahaan manufaktur China yang ingin pindah ke lepas pantai.

Kontan.co.id sudah menghubungi Presiden Direktur PTFI Tony Wenas dan Vice President Corporate Communication PTFI Riza Pratama. Namun, keduanya masih belum memberikan konfirmasi soal ini.

Yang pasti, saat ini ada sejumlah opsi terkait pembangunan smelter tembaga PTFI. Sebelumnya Kontan.co.id mem-beritakan, opsi yang sedang dibahas pemerintah adalah penurunan kapasitas pada proyek smelter tembaga baru PTFI yang berlokasi di JIIPE, Gresik Jawa Timur. Kapasitas dipangkas dari 2 juta ton konsentrat tembaga menjadi 1,7 juta ton.

Namun, 300.000 ton sisanya akan dicukupi dengan melakukan peningkatan kapasitas di smelter tembaga eksisting, di PT Smelting. "Yang penting kan 2 juta ton. Ini kan masih dibahas terus, tapi intinya kan, yang mendasar adalah 2 juta ton," ungkap Tony selepas menghadiri rapat kerja Menteri ESDM bersama Komisi VII DPR RI, Senin lalu (23/11).

Daily News Update Page 6

Financial Expenses Press Darma Henwa's Net Profits

Editor

PT DARMA Henwa Tbk (DEWA) until nine

months 2020 posted a net profit of US$

895.25 thousand, down 24.78% compared to the same period last year of US$ 1.19 million. The decrease in net profit was influenced by an increase in financial expenses which reached US$ 8.1 million compared to the nine-month period 2019

of US$ 3.81 million.

Darwa Henwa's financial report, released on Saturday (28/11), noted that until the third quarter of 2020, it reached US$ 239.31 million, up slightly compared to the

same period last year of US$ 237.92 million. The largest revenue comes from PT Kaltim Prima Coal and PT Arutmin Indonesia which are still related to the company.

Even though revenue increased, cost of goods increased by more than US$ 220.6 million to US$ 237.81 million in the nine months of 2020. As a result, Darwa Henwa's gross profit fell to US$ 1.5 million compared to the same period last year of

US$ 17.31 million.

The foreign exchange gain of US$ 14.97 and other income of US$ 7.2 million made the operating profit of the mining service contractor company affiliated with the Bakrie Group to increase to US$ 8.7 million in nine months 2020 compared to the same period last year. amounting to US$ 7.16 million. (AT)

Beban Keuangan Tekan Laba Bersih Darma Henwa

Redaktur

PT DARMA Henwa Tbk (DEWA) hingga

sembilan bulan 2020 membukukan laba

bersih US$895,25 ribu, turun 24,78% dibanding periode yang sama tahun lalu sebesar US$1,19 juta. Penurunan laba bersih dipengaruhinya peningkatan beban keuangan yang mencapai US$8,1 juta dibanding periode sembilan bulan 2019

sebesar US$3,81 juta.

Laporan keuangan Darwa Henwa yang dirilis Sabtu (28/11) mencatat pendapatan hingga kuartal III 2020 mencapai US$239,31 juta, naik tipis dibanding

periode yang sama tahun lalu US$237,92 juta. Pendapatan terbesar berasal PT Kaltim Prima Coal dan PT Arutmin Indonesia yang masih berelasi dengan perseroan.

Meski pendapatan naik, beban pokok justru naik lebih besar dari US$220,6 juta menjadi US$237,81 juta pada sembilan bulan 2020. Akibatnya, laba kotor Darwa Henwa anjlok menjadi US$1,5 juta dibanding periode yang sama tahun lalu

US$17,31 juta.

Laba selisih kurs yang mencapai US$14,97 dan pendapatan lain-lain sebesar US$7,2 juta membuat laba usaha perusahaan kontraktor jasa tambang yang terafiliasi dengan Grup Bakrie itu meningkat menjadi US$8,7 juta pada sembilan bulan 2020 dibanding periode yang sama tahun lalu sebesar US$7,16 juta. (AT)

Daily News Update Page 7

NHM Management Investments in New Heavy Equipment, Employees Are More Enthusiastic, Exceeding

Production Targets Author: Editor 02

TO support the optimization of production

and provide security guarantees for workers, the President Director (Presdir) and owner of PT Nusa Halmahera Minerals (NHM) H Romo Nitiyudo Wachjo or familiarly called H Robert, brought in a number of new heavy equipment.

Through the Communications Manager of PT NHM Ramdani Sirait, data on new imported equipment were obtained. Starting from two 'SANY' trucks with a capacity of 60 tons, two 'Sandvik HT545i' dump trucks, two CAT 345 hydraulic excavators, one Bogger LH 514, and 1 Jumbo 'BOOMER' T1D.

"The heavy equipment has been handed over directly by Haji Robert Nitiyudo and Operations Director Rafael Nitiyudo. The event which took place in the mining area was carried out with an atmosphere full of enthusiasm from employees, supervisors, managers, as well as the General Manager of Planning and Operations, Rado Lawolo who was also present," said Ramdani.

It was explained, since Indotan (PT Indotan Halmahera Bangkit) took over the majority of shares in PT Nusa Halmahera Minerals (NHM), improvements have continued to be made both internally and externally. Under the leadership of H Robert and the new management of PT NHM, improve-ments were not only carried out outside the area, especially in the area around the mine.

Manajemen NHM Investasi Alat Berat Baru, Karyawan Makin

Semangat Lampaui Target Produksi

Penulis: Redaksi 02

GUNA mendukung optimalisasi produksi

dan memberikan jaminan keamanan bagi pekerja, Presiden Direktur (Presdir) sekaligus pemilik PT Nusa Halmahera Minerals (NHM) H Romo Nitiyudo Wachjo atau akrab disapa H Robert, mendatangkan sejumlah alat berat baru.

Melalui Manajer Komunikasi PT NHM Ramdani Sirait, diperoleh data alat-alat baru yang didatangkan. Mulai dari dua Truck ‘SANY’ dengan kapasitas 60 ton, dua dump truck ‘Sandvik HT545i, dua hydraulic excavator CAT 345, satu Bogger LH 514, dan 1 Jumbo ‘BOOMER’ T1D.

“Alat-alat berat itu sudah diserah-terimakan langsung oleh Haji Robert Nitiyudo dan Direktur Operasional Rafael Nitiyudo. Acara yang berlangsung di dalam kawasan tambang tersebut dilakukan dengan suasana penuh semangat dari para karyawan, para supervisor, para manajer, dan juga General Manager Perencanaan dan Operasi, Rado Lawolo yang juga hadir,” kata Ramdani.

Dijelaskan, sejak Indotan (PT Indotan Halmahera Bangkit) mengambil alih mayoritas saham PT Nusa Halmahera Minerals (NHM), perbaikan di internal dan eksternal perusahaan terus dilakukan. Di bawah kepemimpinan H Robert dan jajaran manajemen baru PT NHM, perbaikan tidak hanya dilakukan di luar kawasan, terutama wilayah lingkar tambang.

Daily News Update Page 8

"Improvement is being carried out in various aspects, including operational activities in the Gosowong mining area. All of this is done in the context of the effectiveness and efficiency of mining activities,” he explained.

Apart from investing in new heavy equipment to maximize the production of existing mines, namely the Toguraci and

Kencana underground mines, PT NHM is also aggressively investing in exploration activities to find new gold reserves.

"H Robert's policy of making new investments to increase exploration and production activities is fully supported by employees because in addition to investing in new heavy equipment and exploration activities, H Robert also provides better welfare for employees and partners than

before," said Ramdani.

He added, PT NHM is also preparing a number of supports to be given to improve the welfare of the community in villages around the mine. As an initial stage, H Robert has restructured the organization of the PT NHM Social Performance Team, which has been managing company programs for communities around the mine.

"In essence, Mr. H Robert wants the people in the villages around the PT NHM mine to be prosperous. Therefore, a well-planned program must be supported by a reliable and professional team, so that the funds to be allocated are right on target,” said Ramdani.

On the other hand, the massive investment by management has also strengthened the data that PT NHM's mine life is still quite long and promising. (fir)

“Pembenahan dilakukan di berbagai aspek, termasuk aktivitas operasional di kawasan tambang Gosowong. Semua itu dilakukan dalam rangka efektivitas dan efisiensi aktivitas pertambangan,” terangnya.

Selain investasi alat-alat berat baru untuk maksimalisasi produksi tambang yang ada, yaitu tambang bawah tanah Toguraci dan Kencana, PT NHM juga gencar melakukan investasi dalam kegiatan eksplorasi untuk mencari cadangan emas baru.

“Kebijakan H Robert melakukan investasi baru untuk meningkatkan aktivitas eksplo-rasi dan produksi didukung penuh oleh para karyawan karena selain investasi untuk alat-alat berat baru dan aktivitas eksplorasi, H Robert juga memberikan kesejahteraan lebih baik bagi para karyawan dan mitra kerja dibanding sebelumnya,” kata Ramdani.

Ditambahkan, PT NHM juga menyiapkan sejumlah dukungan yang akan diberikan untuk meningkatkan kesejahteraan masya-rakat di desa-desa di lingkar tambang. Sebagai tahap awal, H Robert telah merestrukturisasi organisasi Tim Kinerja Sosial/Social Performance PT NHM yang selama ini mengelola program-program perusahaan untuk masyarakat lingkar tambang.

“Intinya, Pak H Robert ingin agar masya-rakat di desa-desa di lingkar tambang PT NHM sejahtera. Karena itu, program yang telah direncanakan dengan baik harus didukung dengan tim yang gandal dan profesional, sehingga dana yang akan dialokasikan tepat sasaran,” kata Ramdani menegaskan.

Di sisi lain, investasi besar-besaran yang dilakukan manajemen, turut memperkuat data bahwa umur tambang PT NHM masih cukup panjang dan menjanjikan. (fir)

Daily News Update Page 9

China buys Indonesian coal, a subsidiary of MMS Group, to become one of the exporters Reporter: Dina Mirayanti Hutauruk |

Editor: Tendi Mahadi

PT MULTI Harapan Utama (MHU), a

subsidiary of MMS Group Indonesia (MMSGI), an Indonesian coal trading company, is one of the six major exporters of coal to China.

This participation is part of the cooperation between the Indonesian Coal Mining Association (APBI) and the China Coal Transportation and Distribution Association (CCTDA) which was facilitated by the government to increase Indonesia's coal exports to China.

This cooperation agreement was signed on November 25 by the Chairperson of APBI, Pandu Patria Sjahrir and Liang Jia Kun as representatives of CCTDA, both parties agreed to sign a coal purchase contract in 2021, and are committed to carrying out the contents of the contract.

APBI said China would buy Indonesian thermal coal worth US$ 1.467 billion and it is hoped that there will be an increase in coal exports to China by 200 million tons in 2021.

Adri Martowardojo, Head of Corporate Strategy and Communication of MMSGI said, through MHU, as a contractor appointed by the Government of the Republic of Indonesia to carry out coal mining activities (exploration and production operations), MMSGI seeks to strengthen the Indonesian coal market in China in the coming years.

China borong batubara Indonesia, anak usaha MMS

Group jadi salah satu eksportir Reporter: Dina Mirayanti Hutauruk |

Editor: Tendi Mahadi

PT MULTI Harapan Utama (MHU) anak usaha dari MMS Group Indonesia (MMSGI), perusahaan perdagangan batubara Indonesia, menjadi salah satu dari enam eksportir utama batubara ke Tiongkok.

Keikutsertaan ini merupakan bagian dari kerja sama Asosiasi Pertambangan Batu-bara Indonesia (APBI) dan China Coal Transportation and Distribution Association (CCTDA) yang difasilitasi oleh pemerintah untuk meningkatkan ekspor batubara Indonesia ke Tiongkok.

Kesepakatan kerja sama ini telah diteken pada 25 November lalu oleh Ketua Umum APBI, Pandu Patria Sjahrir dan Liang Jia Kun selaku perwakilan dari CCTDA, kedua pihak sepakat untuk menandatangani kontrak pembelian batu bara tahun 2021, dan berkomitmen untuk melaksanakan isi kontrak tersebut.

APBI menyebut Tiongkok akan membeli batubara termal Indonesia senilai US$ 1,467 miliar dan diharapkan akan ada peningkatan ekspor batu bara ke Tiongkok sebesar 200 juta ton di 2021.

Adri Martowardojo, Head of Corporate Strategy and Communication MMSGI mengatakan, melalui MHU, sebagai kontraktor yang ditunjuk oleh Pemerintah Republik Indonesia untuk melakukan kegiatan pertambangan (eksplorasi dan operasi produksi) batubara, MMSGI ber-upaya untuk memperkuat pasar batubara Indonesia di Tiongkok di tahun men-datang.

Daily News Update Page 10

"The signing of the MoU provides certainty in our efforts and strategies to become the largest coal exporter in Indonesia." he said in a press release received by Kontan.co.id, Monday (30/11).

The signing of the MoU was carried out as a continuation of the Bilateral Meeting of the Indonesian Government which was held in Yunnan, China, last October to synergize policies amid the Covid-19 pandemic.

Adri said that in the future MMSGI will also continue to prepare itself in line with the government's direction, especially in carrying out the downstream mining industry which can provide added value for Indonesia.

"Penandatanganan MoU memberikan kepas-tian dalam upaya serta strategi kami agar dapat menjadi eksportir batubara terbesar di Indonesia.” katanya dalam press rilis yang diterima Kontan.co.id, Senin (30/11).

Penandatanganan MoU tersebut dilaksana-kan sebagai salah satu bentuk kelanjutan dari Pertemuan Bilateral Pemerintah Indonesia yang dilaksanakan di Yunnan, China, pada Bulan Oktober lalu untuk mensinergikan kebijakan di tengah pandemi Covid-19.

Adri bilang, ke depan MMSGI juga akan terus mempersiapkan diri sejalan dengan arahan pemerintah khususnya dalam melakukan hilirisasi industri tambang yang nantinya dapat memberikan nilai tambah untuk Indonesia.

Build a New Smelter in Weda Bay, Freeport President Director: We

Follow the Government's Direction Reporter: Ridwan Nanda Mulyana | Editor:

Anna Suci Perwitasari

PT FREEPORT Indonesia (PTFI) President

Director Tony Wenas confirmed that he is exploring cooperation with Tsingshan Steel to build a new copper smelter. Freeport is partnering with the Chinese steel company to build a copper smelter in Weda Bay, Halmahera.

However, Tony emphasized that the partnership was still in the discussion stage. He said the exploration of cooperation was in accordance with the direction from the government. "It is still under discussion. We are fully following the government's direction," Tony told Kontan.co.id, Monday (30/11).

Bangun smelter baru di Weda Bay, Presdir Freeport: Kami ikuti

arahan pemerintah Reporter: Ridwan Nanda Mulyana | Editor:

Anna Suci Perwitasari

PRESIDEN Direktur PT Freeport Indonesia

(PTFI) Tony Wenas mengkonfirmasi sedang

menjajaki kerjasama dengan Tsingshan Steel untuk membangun smelter tembaga baru. Freeport menggandeng perusahaan baja asal China itu untuk membangun smelter tembaga di Weda Bay, Halmahera.

Namun, Tony menegaskan bahwa kemitraan itu masih dalam tahap pembahasan. Dia menyebut, penjajakan kerjasama sesuai dengan arahan dari pemerintah. "Masih dalam pembahasan. Kami sepenuhnya mengikuti arahan Pemerintah," kata Tony

pada Kontan.co.id, Senin (30/11).

Daily News Update Page 11

Furthermore, PTFI Vice President Corporate Communication Riza Pratama said that the discussion was one of the options in fulfilling the obligation to increase the added value (downstream) of copper in the country. However, this option will still be discussed and later decided by the government.

"This is an option prepared by the government and the choice will be decided by the government," said Riza.

With this, there are at least two main options being negotiated by PTFI with the government. First, cutting the capacity of PTFI's new copper smelter, which is planned to be located in JIIPE, Gresik, East Java, from 2 million tons of concentrate to 1.7 million tons.

In exchange for the cuts, PTFI will increase the capacity of the existing smelter at PT Smelting by 300,000 tons. Thus, the total additional capacity remains 2 million tons, to accommodate PTFI copper concentrate so that it can be processed domestically.

Second, by building a new smelter in Weda Bay with Tsingshan. As is known, Weda Bay is currently an integrated nickel smelter area.

Riza also agreed that his party was discussing the two options with the government. "Yes," he replied simply.

Quoting the Asia Times, PT Freeport Indonesia (PTFI) discussed cooperation with Tsingshan Steel China to build a copper smelter worth US$ 1.8 billion at the nickel processing complex in Weda Bay, Halmahera.

In an interview with Asia Times, Coordinating Minister Luhut hopes that the agreement can be signed before next March. "We are happy with the agreement. But the two sides are still in detailed discussions," he said.

Lebih lanjut, Vice President Corporate Communication PTFI Riza Pratama menyam-paikan, pembahasan tersebut menjadi salah satu opsi dalam pemenuhan kewajiban peningkatan nilai tambah (hilirisasi) tembaga di dalam negeri. Namun, opsi itu masih akan dibahas dan nantinya diputuskan oleh pemerintah.

"Ini opsi yang disiapkan Pemerintah dan pilihannya akan diputuskan oleh peme-rintah," kata Riza.

Dengan ini, paling tidak ada dua opsi utama yang sedang dinegosiasikan PTFI bersama pemerintah. Pertama, memangkas kapasitas smelter tembaga baru PTFI yang rencananya berlokasi di JIIPE, Gresik, Jawa Timur, dari semua 2 juta ton konsentrat menjadi 1,7 juta ton.

Sebagai ganti pemangkasan tersebut, PTFI akan meningkatkan kapasitas smelter eksisting di PT Smelting sebanyak 300.000 ton. Sehingga, total tambahan kapasitas tetap 2 juta ton, untuk menampung konsentrat tembaga PTFI agar bisa diolah di dalam negeri.

Kedua, dengan membangun smelter baru di Weda Bay bersama Tsingshan. Seperti diketahui, Weda Bay saat ini merupakan kawasan smelter nikel terintegrasi.

Riza pun mengamini bahwa pihaknya sedang membahas kedua opsi tersebut bersama pemerintah. "Betul," jawabnya singkat.

Mengutip Asia Times, PT Freeport Indonesia (PTFI) membahas kerjasama dengan Tsingshan Steel China untuk membangun smelter tembaga senilai US$ 1,8 miliar di kompleks pengolahan nikel di Weda Bay, Halmahera.

Dalam wawancara dengan Asia Times, Menko Luhut berharap kesepakatan tersebut bisa ditandatangani sebelum Maret men-datang. "Kami senang dengan kesepakatan tersebut. Tetapi kedua belah pihak masih dalam pembahasan rinci," katanya.

Daily News Update Page 12

Tsingshan is reported to have agreed to complete the copper smelter within 18 months. With Tsingshan also planning to complete a lithium battery plant in Weda Bay by 2023, the new copper smelter will provide the sulfuric acid needed to produce low-grade ferronickel for the stainless steel market and also to recover cobalt from used lithium batteries.

Freeport copper will also be a source of cables and other spare parts for the electric car industry. According to one expert estimate, battery electric vehicles use as much as 83 kilograms of copper, compared to 23 kilograms for an internal combustion engine.

On the other hand, Freeport concentrate transportation is not considered a major factor. The distance between the Freeport port in Timika on the southern coast of Papua to the Halmahera site is only 2,660 kilometers, compared to the 4,000 kilometer route to Gresik.

Tsingshan dikabarkan telah setuju untuk menyelesaikan smelter tembaga tersebut dalam waktu 18 bulan. Dengan Tsingshan yang juga berencana menyelesaikan pabrik baterai lithium di Weda Bay pada tahun 2023, pabrik peleburan tembaga baru akan menye-diakan asam sulfat yang dibutuhkan untuk memproduksi feronikel kualitas rendah untuk pasar baja tahan karat dan juga untuk me-mulihkan kobalt dari baterai lithium bekas.

Tembaga Freeport juga akan menjadi sumber kabel dan suku cadang lainnya untuk industri mobil listrik. Menurut salah satu perkiraan ahli, kendaraan listrik baterai menggunakan tembaga sebanyak 83 kilogram, dibandingkan dengan 23 kilogram untuk mesin pembakaran internal.

Di sisi lain, pengangkutan konsentrat Freeport tidak dianggap sebagai faktor utama. Jarak antara pelabuhan Freeport di Timika di pantai selatan Papua ke situs Halmahera hanya 2.660 kilometer, diban-dingkan dengan jalur 4.000 kilometer ke Gresik.

MIND ID Celebrates 3rd Anniversary by Organizing

Charity Week Donald Banjarnahor, CNBC Indonesia

SOE Holding Mining Industry MIND ID, or

Mining Industry Indonesia, which consists of PT ANTAM Tbk, PT Bukit Asam Tbk, PT Freeport Indonesia, PT Inalum (Persero) and PT Timah Tbk, commemorating its 3rd Anniversary (HUT) on Friday, November 27, 2020. The 3rd anniversary celebration was enlivened with various activities, ranging from virtual competitions to Charity Week events.

MIND ID Rayakan HUT ke-3 dengan Selenggarakan Charity

Week Donald Banjarnahor, CNBC Indonesia

BUMN Holding Industri Pertambangan

MIND ID, atau Mining Industry Indonesia, yang beranggotakan PT ANTAM Tbk, PT Bukit Asam Tbk, PT Freeport Indonesia, PT Inalum (Persero) dan PT Timah Tbk, memperingati Hari Ulang Tahun (HUT) ke-3 pada Jumat, 27 November 2020. Perayaan ulang tahun ke-3 ini diramaikan dengan berbagai kegiatan, mulai dari kompetisi secara virtual hingga gelaran Charity Week.

Daily News Update Page 13

Charity Week is a social activity that takes place for two weeks ahead of MIND ID's anniversary celebrations. Implemented simultaneously by MIND ID and its members, this year's Charity Week is focused on activities that help prevent COVID-19 and aspects related to public health.

Twenty-seven Charity Week activities were held in a number of areas where MIND ID members operate, starting from Jakarta, Bogor - West Java, Muara Enim - South Sumatra, Lampung, Batubara, Toba - North Sumatra, Bangka, Pangkal Pinang - KEPRI; Tayan - West Kalimantan, Kolaka - North Sulawesi, Halmahera to Tembaga-pura, Papua.

The activities and assistance provided were varied. PT ANTAM Tbk distributed mass masks and hand sanitizers, made hand washing facilities, and provided wifi devices, signal boosters.

The assistance provided by PT Bukit Asam Tbk includes renovating the PCR laboratory, procuring PCR tools in the form of providing M2000 system machines, BSC II A, freezers, 1000 UI 2 set micropipettes, Vortec Boeco V2H, and Reagent 1 kit 96 full tests. Then there was the handover of scholarships for 384 elementary, junior high and high school students in Lampung as well as the distribution of groceries for more than 3,500 families in Muara Enim, South Sumatra.

PT Freeport Indonesia prepared 170 recycled bins that were handed over symbolically through the Mimika Regency Industry and Trade Service (Disperindag).

PT Inalum Persero (Inalum) distributed masks, built hand washing facilities, and held immune enhancement activities for more than 1,000 children around the factory area, and distributed medical equipment for POSKEDES in Batubara Regency, North Sumatra.

Charity Week merupakan kegiatan sosial yang berlangsung selama dua pekan jelang perayaan hari jadi MIND ID. Dilaksanakan serentak oleh MIND ID dan para anggotanya, kegiatan Charity Week tahun ini difokuskan pada kegiatan yang membantu pencegahan COVID-19 dan aspek-aspek terkait kese-hatan masyarakat.

Dua puluh tujuh kegiatan Charity Week dillakukan di sejumlah wilayah anggota MIND ID beroperasi, mulai dari Jakarta, Bogor - Jawa Barat, Muara Enim - Sumatera Selatan, Lampung, Batubara, Toba - Sumatera Utara, Bangka, Pangkal Pinang - KEPRI; Tayan - Kalimantan Barat, Kolaka - Sulawesi Utara, Halmahera hingga Tembaga-pura, Papua.

Kegiatan dan bantuan yang diberikan beragam. PT ANTAM Tbk membagikan masker dan hand sanitizer massal, pem-buatan fasilitas cuci tangan, hingga penye-diaan perangkat wifi, penguat sinyal.

Bantuan yang diberikan oleh PT Bukit Asam Tbk meliputi renovasi laboratorium PCR, pengadaan alat PCR berupa penyediaan mesin M2000 system, BSC II A, freezer, mikropipet 1000 UI 2 set, Vortec Boeco V2H, dan Reagen 1 kit 96 tes full. Lalu ada penyerahan beasiswa bagi 384 siswa SD, SMP dan SMA di Lampung serta pembagian sembako lebih dari 3.500 kepala keluarga di Muara Enim, Sumatera Selatan.

PT Freeport Indonesia menyiapkan 170 tempat sampah hasil daur ulang yang diserahkan secara simbolis melalui Dinas Perindustrian dan Perdagangan (Disperindag) Kabupaten Mimika.

PT Inalum Persero (Inalum) mendistribusi-kan masker, membangun fasilitas cuci tangan, serta mengadakan kegiatan pening-katan imun bagi lebih dari 1.000 anak-anak di sekitar wilayah pabrik, serta men-distribusikan alat-alat kesehatan untuk POSKEDES di Kabupaten Batubara, Sumatera Utara.

Daily News Update Page 14

PT Timah Tbk enlivened by providing assistance to construct livable houses in South Bangka and construction of clean water wells in Central Bangka.

"We do our Charity Week regularly every year. This year, we direct our assistance to help handle the prevention of COVID-19 in the operational areas of all MIND ID members. This is one of our efforts to provide goodness and benefits to the wider community," said MIND Corporate Secretary. ID Rendi Witular. (dob/dob)

PT Timah Tbk meramaikan dengan mem-berikan bantuan pembangunan rumah layak huni di Bangka Selatan dan pembuatan sumur air bersih di Bangka Tengah.

"Kegiatan Charity Week kami lakukan rutin setiap tahun. Khusus tahun ini bantuan kami arahkan untuk membantu penanganan pencegahan COVID-19 di wilayah operasi-onal seluruh anggota MIND ID. Ini salah satu upaya kami dalam memberikan kebaikan dan manfaat bagi masyarakat luas," ujar Sekretaris Perusahaan MIND ID Rendi Witular. (dob/dob)

Bayan Resources (BYAN) Obtained 66 Percent of Coal Contracts for the 2021 Sales

Target Finna U. Ulfah

THE COAL mining company, PT Bayan Resources Tbk., has secured a coal sale and purchase contract commitment of around 66 percent of next year's sales target.

Bayan Resources Director Russel Neil said that the company targets the sales volume for next year to be the same as this year's guidance, along with the construction of a 100 km long coal haul road to the Mahakam River.

Not only that, the production volume for 2021 is also estimated to be unchanged from the previous year. For information, the issuer coded as BYAN shares this year's sales volume target of 30-31 million tons and production volume of 26 million tons.

"However, we already have a commitment of about 66 percent of the sales contract targeted for next year," Russel said during an online public exposure, Monday (30/11/2020).

Bayan Resources (BYAN) Kantongi 66 Persen Kontrak

Batu Bara untuk Target Penjualan 2021

Finna U. Ulfah

EMITEN pertambangan batu bara, PT Bayan

Resources Tbk., telah mengantongi komitmen kontrak jual beli batu bara sekitar 66 persen dari target penjualan tahun depan.

Direktur Bayan Resources Russel Neil menga-takan bahwa perseroan menargetkan volume penjualan untuk tahun depan sama dengan panduan tahun ini seiring dengan pem-bangunan jalan pengangkutan batu bara (coal haul road) 100 km menuju Sungai Mahakam.

Tidak hanya itu, volume produksi untuk 2021 juga diestimasikan tidak berubah dari tahun sebelumnya. Untuk diketahui, emiten berkode saham BYAN itu menargetkan volume penjualan tahun ini sekitar 30-31 juta ton dan volume produksi sebesar 26 juta ton.

“Namun, kami sudah ada komitmen sekitar 66 persen kontrak penjualan dari yang ditarget-kan untuk tahun depan,” ujar Russel saat paparan publik secara daring, Senin (30/11/ 2020).

Daily News Update Page 15

Neil estimates that the company's routine

production increase will only occur in

2022, in line with the target of completing

the construction of the haul road by mid-

2022.

To support the development of mining

infrastructure development, the company

estimates the allocation of capital

expenditure (capex) in 2021 of around US$

150 million.

Bayan Resources Director Alastair Mcleod

said that the 2021 capex guidance must be

higher considering that the company has

postponed this year's capex in line with

business challenges due to the Covid-19

pandemic.

The coal issuer with the largest market

capitalization has cut the 2020 capex guide

to a range of US$ 75 million to US$ 90

million compared to the previously set

allocation of around US$ 90 million to US$

110 million.

Meanwhile, during the first nine months of

this year BYAN has absorbed a capex of

US$ 43.1 million, lower than the company's

estimate of US$ 66.4 million.

Bayan Resources Director and Corporate

Secretary Jenny Quantero said that most of

the funds were used for mining infra-

structure support projects, including 100

km long haul roads and the addition of a

second ship loader installation at the

Balikpapan Coal Terminal (BCT). Editor:

Aprianto Cahyo Nugroho

Neil memperkirakan kenaikan produksi rutin perseroan baru akan terjadi pada 2022 sejalan dengan target penyelesaian pengerjaan jalan pengangkutan itu pada pertengahan 2022.

Untuk mendukung pengembangan pem-bangunan infrastruktur tambang itu, per-seroan mengestimasikan alokasi belanja modal atau capital expenditure (capex)

pada 2021 sekitar US$150 juta.

Direktur Bayan Resources Alastair Mcleod mengatakan bahwa panduan capex 2021 harus lebih tinggi mengingat perseroan telah menunda capex tahun ini seiring dengan tantangan bisnis akibat pandemi Covid-19.

Emiten batu bara dengan kapitalisasi pasar terjumbo itu telah memangkas panduan capex 2020 menjadi kisaran US$75 juta

hingga US$90 juta daripada alokasi yang ditetapkan sebelumnya di kisaran US$90 juta hingga US$110 juta.

Adapun, sepanjang sembilan bula n pertama tahun ini BYAN telah menyerap capex sebesar US$43,1 juta, lebih rendah daripada estimasi perseroan di kisaran US$66,4 juta.

Direktur sekaligus Sekretaris Perusahaan Bayan Resources Jenny Quantero mengata-

kan bahwa dana itu sebagian besar digunakan untuk proyek penunjang infra-struktur tambang, termasuk jalan angkutan sepanjang 100 km dan penam-bahan instalasi pemuat kapal atau ship loader kedua di Balikpapan Coal Terminal (BCT). Editor : Aprianto Cahyo Nugroho

Daily News Update Page 16

Coal Production Amid the Pandemic Drops

THE COAL sector as one of the pillars of the economy in South Kalimantan in the third quarter of 2020 experienced a decline compared to 2019.

Head of the Office of Energy and Mineral Resources (EMR) of South Kalimantan Province through the Head of Minerba Business, Endarto, if in the third quarter coal production reached 45 million metric tons (MT), while the target of coal production in the regional IUP (Mining Business Permit) reached 63 million MT.

Endarto said this decline was due to the fact that production was previously hampered due to the Covid-19 pandemic which had an impact on performance, production output and market prices.

For sales that have decreased because many coal user companies have not operated during the pandemic, the demand will automatically decrease. However, after the new normal Covid-19 era, production began to increase.

"Currently, the demand from power plant companies has not decreased. in the first quarter the situation was still stable, in the second quarter there was a slight decline, but in the third quarter the situation started to rise, although not significant, it was just flu time," he said.

Endarto also said that it was not only a matter of decreasing production, his party also received complaints from mining companies regarding changes in marketing patterns of production products, where mining companies holding IUP had to fight extra to market their products domestically and abroad. (dev/K-3)

Produksi Batu Bara Ditengah Pandemo Anjlok

SEKTOR Batubara sebagai salah satu penopang perekonomian di Kalimantan Selatan pada triwulan III-2020 mengalami penurunan dibanding tahun 2019.

Kepala Dinas Energi dan Sumber Daya Mineral (ESDM) Provinsi Kalsel melalui Kasi Pengusahaan Minerba, Endarto jika pada triwulan III produksi Batubara mencapai 45 juta metrik ton (MT) sedangkan ditargetkan produksi batubara pada IUP (Izin Usaha Pertambangan) daerah mencapai 63 juta MT.

Penurunan ini disebutkan Endarto disebab-kan karena sebelumnya produksi sempat terhambat karena adanya pandemi Covid-19 yang berpengaruh kepada kinerja, hasil produksi dan harga dipasaran.

Untuk penjualan yang mengalami penurunan karena banyak perusahaan pengguna batubara yang tidak beroperasi selama pandemi, yang secara otomatis permintaan berkurang. Namun setelah adanya era new normal Covid-19 geliat produksi mulai meningkat.

“Saat ini permintaan dari perusahaan pembangkit listrik yang tidak berkurang. pada triwulan pertama keadaan masih stabil, di triwulan kedua ada sedikit penurunan, namun di triwulan tiga keadaan mulai naik meski tidak signifikan, hanya fluaktuatif saja,” katanya.

Endarto juga mengatakan tidak hanya soal produksi yang menurun saja, pihaknya juga menerima keluhan dari perusahaan tambang mengenai perubahan pola pemasaran hasil produksi, dimana perusahaan tambang pemegang IUP harus berjuang ekstra untuk memasarkan hasil produksi dalam negeri dan luar negeri. (dev/K-3)

Daily News Update Page 17

Reluctant to Loosen, Coal Prices Are Closer to US$ 70/ton Again

Tirta Citradi, CNBC Indonesia

THE COAL futures contract price is still

reluctant to loose. Had reversed direction last weekend, yesterday it was stuck again to the level of US$ 70/ton. Early this week, the Newcastle thermal coal futures contract price closed up 0.58 percent to US$ 69.95/ton.

The price of the black stone has not yet reached its highest level throughout the year at US$ 77.15/ton on January 13. However, with the achievement of the level of US$ 70/ton, the prices of the leading commodities from Indonesia and Australia are already at the level at the beginning of the year.

The price of coal has started to creep up since the second week of October. In fact, throughout November the contract price for Newcastle coal has shot up 17.38%.

This increase was triggered by several main sentiments, especially those coming from the latest development of the Covid-

19 vaccine. The promising final stage clinical trial results of the three Covid-19 vaccine candidates Pfizer -BioNTech, Moderna and AstraZeneca have made the market happy.

From the demand side, the increasing demand for coal imports from China and India in November put upward pressure on coal prices when producers chose to cut production due to demand and prices that dropped significantly due to the lockdown.

Ogah Kendor, Harga Batu Bara Mepet ke US$ 70/ton Lagi

Tirta Citradi, CNBC Indonesia

HARGA kontrak futures batu bara masih

ogah kendor. Sempat balik arah akhir pekan lalu, kemarin mepet lagi ke level US$ 70/ton. Di awal pekan ini harga kontrak futures batu bara termal Newcastle ditutup menguat 0,58% ke US$ 69,95/ton.

Harga si batu legam memang belum mencapai level tertinggi sepanjang tahun di US$ 77,15/ton pada 13 Januari lalu. Namun dengan tercapainya level US$ 70/ton, harga komoditas unggulan RI dan

Australia ini sudah berada di level awal tahun.

Harga batu bara sudah mulai merangkak naik sejak minggu kedua bulan Oktober. Bahkan di sepanjang bulan November harga kontrak batu bara Newcastle telah melesat 17,38%.

Kenaikan ini dipicu oleh beberapa sentimen utama terutama yang datang dari perkembangan terbaru vaksin Covid-19. Hasil uji klinis tahap akhir yang men-

janjikan ketiga kandidat vaksin Covid-19 Pfizer-BioNTech, Moderna dan Astra-Zeneca yang membuat pasar sumringah.

Dari sisi demand, meningkatnya per-mintaan impor batu bara dari China dan India bulan November memberikan tekanan ke atas terhadap harga batu bara ketika para produsen memilih untuk memangkas produksinya akibat permin-taan dan harga yang drop signifikan akibat

lockdown.

Daily News Update Page 18

High imports from China and India succeeded in boosting the price of this commodity. Understandably, China is the number one and two coal importer countries in the world.

Based on Reuters data, China's coal imports in November 2020 until the fourth week were 17.72 million tons. Soaring nearly 60% compared to the previous month.

Meanwhile, Indian coal imports in the same period were 19.38 million tonnes. Up 6.78% compared to the previous month. Bollywood's domestic coal imports continued to climb after the first semester of 2020 along with the relaxation of regional quarantine (lockdown).

Although China's coal imports have increased, the relationship between Beijing and Canberra cannot be said to be on the same level. Both bilateral geopolitical tensions were triggered by Australian support to investigate the origins of the Covid-19 outbreak.

Informally, China is reportedly boycotting Australian coal products so that shipments from Kangaroo to Panda Country are lower. China argues that lower imports from Australia are a personal decision of its consumers.

According to Reuters, China said coal imports from Australia failed to meet environmental standards set by the Chinese Ministry of Foreign Affairs, resulting in dozens of shipments being held at ports.

"In recent years, it is the custom of the Chinese people to conduct risk monitoring assessments of the safety and quality of imported coal, and we find that many imported coals fail to meet environmental standards," said ministry spokesman Zhao Lijian.

Tingginya impor China dan India berhasil mendongkrak harga komoditas ini. Maklum, China adalah negara importir batu bara nomor satu dan dua di dunia.

Berdasarkan data Reuters, impor batu bara China pada November 2020 hingga pekan keempat adalah 17,72 juta ton. Melonjak nyaris 60% dibandingkan bulan sebelum-nya.

Sementara impor batu bara India dalam periode yang sama adalah 19,38 juta ton. Naik 6,78% dibandingkan bulan sebelum-nya. Impor batu bara Negeri Bollywood terus menanjak selepas semester I-2020 seiring pelonggaran karantina wilayah (lockdown).

Meskipun impor batu bara China meng-alami kenaikan tetapi hubungan antara Beijing dengan Canberra tak bisa di-katakan akur. Tensi geopolitik bilateral keduanya dipicu oleh dukungan Australia untuk menginvestigasi asal muasal wabah Covid-19.

Secara informal China dikabarkan mem-boikot produk batu bara Australia sehingga pengiriman dari Negeri Kanguru ke Negeri Panda menjadi lebih rendah. China berdalih bahwa rendahnya impor dari Australia merupakan keputusan pribadi para konsumennya.

Melansir Reuters, China mengatakan impor batu bara dari Australia gagal memenuhi standard lingkungan yang ditetapkan menurut Kementerian Luar Negeri China sehingga puluhan pengiriman tertahan di pelabuhan.

"Dalam beberapa tahun terakhir, kebiasaan orang China melakukan penilaian pemantauan risiko terhadap keamanan dan kualitas batu bara impor, dan kami menemukan banyak batu bara impor gagal memenuhi standar ling-kungan," kata juru bicara kementerian Zhao Lijian.

Daily News Update Page 19

Customs data shows China's coking coal imports from Australia fell in October to 1.53 million tonnes, or about 26% of total fuel imports, the market share of imports slumping compared to 30% in September and 78% in March last highest level since at least 2018.

Unlike Australia, whose coal exports to China are problematic, Indonesia is in fact

the arrival of blessings. China will buy thermal coal worth US$ 1.467 billion from Indonesia next year, said the Indonesian Coal Mining Association (APBI).

The trade agreement was signed between APBI and China Coal Transportation and Distribution on Wednesday last week (25/11/2020). RESEARC H TEAM C NBC

INDONESIA (twg/twg)

Data bea cukai menunjukkan impor batu bara kokas China dari Australia merosot pada bulan Oktober menjadi 1,53 juta ton, atau sekitar 26% dari total impor bahan bakar, pangsa pasar impor merosot di-bandingkan dengan 30% pada September dan 78% pada Maret lalu yang merupakan level tertinggi setidaknya sejak 2018.

Berbeda dengan Australia yang ekspor batu baranya ke China bermasalah, Indonesia justru kedatangan berkah. China akan membeli batu bara termal senilai US$ 1,467 miliar dari Indonesia tahun depan kata Asosiasi Pertambangan Batubara Indonesia (APBI).

Kesepakatan perdagangan tersebut di-tandatangani antara APBI dan China Coal Transportation and Distribution pada hari Rabu pekan lalu (25/11/2020). TIM RISET CNBC INDONESIA (twg/twg)

This Technology Is Able To Map Underground Water In Former

Mining Areas Author: Edo Fernando, Editor: Ocky PR.

A NEW technology that leverages satellite

radar imaging technology to capture millimeter-scale measurements of changes in the altitude of a terrain, could help authorities manage public safety and environmental concerns in recently abandoned coal mining areas.

The tool was developed by researchers at the University of Nottingham and its measurements can be used to monitor and estimate underground water levels as well as changes in geological conditions deep below the earth's surface in former mining areas.

Teknologi Ini Mampu Petakan Air Bawah Tanah di Bekas

Lahan Tambang Penulis : Edo Fernando, Editor : Ocky PR.

SEBUAH teknologi terbaru yang memanfaat-

kan teknologi pencitraan radar satelit untuk menangkap pengukuran dengan skala milimeter dari perubahan ketinggian suatu medan, bisa membantu pihak berwenang guna mengelola masalah keselamatan publik dan lingkungan di area tambang batu bara yang baru ditinggalkan.

Alat tersebut dikembangkan oleh para peneliti di Universitas Nottingham dan pengukurannya bisa digunakan untuk memantau dan mem-perkirakan tingkat air bawah tanah serta perubahan kondisi geologi jauh di bawah permukaan bumi di bekas area pertambangan.

Daily News Update Page 20

In a paper published in the journal Remote Sensing of Environment, the researchers explain that when underground mines are closed, groundwater that was previously pumped to the surface to make mining safe, will be allowed to rise again until its natural levels are restored, in a process known as rebound.

This means, the mining parties that carry out the rebound process, both public companies and private companies, need detailed information on the rebound rate. Then they can know exactly when to relax or when to increase pumping power to control groundwater levels and avoid unpredictable flow and discharge.

The team at Nottingham used an advanced Interferometric Synthetic Aperture Radar (InSAR) technique called the Intermittent Small Baseline Subset (ISBAS) to provide detailed information. The technique makes use of layers of satellite images of the same location that are taken every few days or weeks, which makes it possible to pick up the slightest change in topography over time.

They have also piloted the project in a former coal mine area in Nottinghamshire, which was abandoned in 2015, when the last underground mine, the Thoresby Colliery, was closed.

Uniquely, ISBAS and InSAR technologies are able to calculate land deformation measurements in both urban and remote areas. This is of course very useful when mapping former mining areas, which are often in remote areas with inadequate access.

Such measurement density means that it may be possible to develop a simple and cost-effective method for modeling groundwater rebound from changes in surface motion.

Dalam makalah yang diterbitkan di jurnal Remote Sensing of Environment, para peneliti menjelaskan bahwa ketika tambang bawah tanah ditutup, air tanah yang sebelumnya dipompa ke permukaan agar kegiatan tambang menjadi aman, akan dibiarkan naik lagi sampai dikembalikan tingkat alaminya, dalam sebuah proses yang dinamakan rebound.

Hal ini berarti, pihak yang melakukan penam-bangan yang melakukan proses rebound, baik itu perusahaan publik maupun perusahaan swasta, membutuhkan informasi mendetail untuk tingkat rebound tersebut. Kemudian mereka bisa mengetahui dengan pasti kapan waktunya untuk bersantai atau kapan waktu-nya meningkatkan kekuatan pemompaan guna mengontrol tingkat air tanah dan menghindari aliran dan pembuangan yang tidak terduga.

Tim di Nottingham menggunakan teknik Inter-ferometric Synthetic Aperture Radar (InSAR) yang canggih, yang disebut Intermittent Small Baseline Subset (ISBAS) untuk memberikan informasi terperinci. Teknik itu memanfaatkan lapisan citra satelit dari lokasi yang sama yang diambil setiap beberapa hari atau minggu tertentu, yang membuatnya mungkin untuk mengambil perubahan topografi sekecil apapun dari waktu ke waktu.

Mereka pun telah melakukan uji coba proyek tersebut di sebuah area bekas tambang batu-bara di Nottinghamshire, yang ditinggalkan pada tahun 2015 lalu, ketika tambang bawah tanah terakhir, Thoresby Colliery ditutup.

Uniknya, teknologi ISBAS dan InSAR mampu menghitung pengukuran deformasi lahan baik di daerah perkotaan maupun daerah terpencil sekalipun. Hal ini tentunya sangat bermanfaat saat memetakan bekas area tambang yang seringkali berada di wilayah yang terpelosok dan akses yang tidak memadai.

Kepadatan pengukuran semacam itu berarti bisa sangat memungkinkan untuk mengem-bangkan metode yang hemat biaya dan sederhana untuk memodelkan rebound air dalam tanah dari perubahan pergerakan permukaan.

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The trial also found a definite link between the measurement of ground motion and the rise in mine water levels. Often subsidence or removal of soil occurs as a result of changes in water in the soil, where the layer acts like a sponge, expanding when filled with water and shrinking when drained.

With the very complete spatial coverage of

the InSAR data, researchers can fill in measurement gaps between boreholes to map changes in mine water levels across the coal mine area.

This model takes into account the geology and depth of groundwater to determine the true rebound rate, and helps identify where rebound-related problems are likely to occur.

The InSAR findings can be used as the main

reference for additional information on changes in groundwater that add to drill hole measurements. This means that monitoring can be done remotely, so it doesn't require a lot of labor.

Uji coba itu juga menemukan keterkaitan yang pasti antara pengukuran gerakan tanah dan kenaikan permukaan air tambang. Seringkali penurunan atau pengangkatan tanah terjadi sebagai akibat dari perubahan air di dalam tanah, di mana lapisannya bertindak selayaknya sebuah spons, mengembang saat terisi air dan menyusut ketika dikeringkan.

Dengan cakupan spasial yang sangat lengkap dari data InSAR, para peneliti bisa mengisi celah pengukuran antara lubang bor untuk memetakan perubahan permukaan air tambang di seluruh area tambang batubara.

Model ini memperhitungkan geologi dan kedalaman air tanah untuk menentukan tingkat rebound yang sebenarnya, dan mem-bantu mengidentifikasi di mana masalah yang terkait dengan rebound kemungkinan akan terjadi.

Temuan InSAR ini bisa dijadikan sebagai rujukan utama informasi tambahan tentang perubahan air tanah yang menambah peng-ukuran lubang bor. Artinya, pemantauan dapat dilakukan dari jarak jauh, sehingga tidak memerlukan banyak tenaga kerja.

China sends coal miners a message with 'symbolic' Indonesia pact Peter Ker, Resources reporter

AN ENHANCED coal trading partnership between China and Indonesia is a signal the

blacklisting of Australian thermal coal could be maintained longer, according to industry intelligence firm Wood Mackenzie.

Chinese posturing over its ban on Australian coal imports went to a new level last week when the China Coal Transportation and Distribution Association (CTDA) signed a non-binding pact to increase purchases of Indonesian coal over the next three years.

While coal supply contracts are typically struck between individual mining companies and power generators, or alternatively between governments, last week's unusual agreement was struck between the industry lobby group for Chinese coal miners and the industry lobby group for Indonesian miners; akin to the Minerals Council of Australia striking a supply contract with a foreign industry association.

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The deal also did not state the exact volumes of coal involved in the three-year deal, although media reports have suggested China will buy about 200 million tonnes of Indonesian coal if the agreement is formalised.

Despite the lack of clarity, Wood Mackenzie's Asia Pacific head of coal Rory Simington said the agreement did not appear to be good news for Australian thermal coal exporters.

''While we expect such an agreement is largely symbolic it appears China is signalling that it intends to maintain the ban on Australian coal and is looking to provide Indonesian producers with the certainty that will allow them to plan to fill the gap,'' he said on Monday.

Indonesian thermal coal typically has a lower energy content than the coal Australia sells to North Asia, and therefore cannot be used as a direct substitute for Australian coal in power stations unless power generators blend the Indonesian product with other high-grade material, such as from Russia.

Indonesian thermal coal typically contains between 3800 and 4200 kilocalories per kilogram; making it less combustible than the 5500 kilocalorie product that has traditionally been shipped from New South Wales to China.

The thermal coal sold from NSW to Japan typically has energy content beyond 6000 kilocalories per kilogram.

Indonesia exported 456.4 million tonnes of coal in 2019, but is expected to fall short of that level in 2020.

China's ban on Australian coal, enforced in early October, has also affected shipment of Australian coking coal for use in Chinese steel mills.

Mr Simington said Indonesia was not a big player in coking coal markets, and so did not pose an immediate threat to Australian coking coal miners.

''We expect this is about thermal coal not coking coal. Indonesia produces only around 4 million tonnes of coking coal and none of it goes to China,'' he said.

Chinese coal buying habits in early 2021 will be keenly watched, with some in the Australian coal sector believing the buying strike is not entirely about political tensions, but is also linked to China exceeding its self-imposed limits on imported coal earlier than normal in 2020.

In previous years, Australian coal has found it difficult to enter China in the weeks prior to January 1 because annual limits had been breached, only to find the path into China easier after the turn of the New Year.

Shares in listed thermal coal exporters Whitehaven and New Hope slumped by more than 9 per cent and 6 per cent respectively on Monday in response to the signals that China wants to consume more Indonesian coal.

Monday's slump in Whitehaven and New Hope shares ends a month-long rally that had seen the two stocks recover from multi-year lows.

Whitehaven shares rose by almost 60 per cent between October 28 and November 25 while New Hope shares had risen by almost 40 per cent in the three weeks to November 25. Peter Ker covers resource companies, based in Melbourne. Connect with Peter on Twitter. Email Peter at pker@afr.com

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Metso Outotec introduces a full line of mill discharge pumps for efficient slurry handling in the concentrator plants

METSO Outotec has launched a full line of mill discharge pumps for reliable and efficient

slurry handling in minerals processing.

”Slurry handling is vital in maximizing a minerals processing plant’s productivity and efficiency. Insufficient slurry handling may bring the whole plant to a halt or lead to inefficiencies in different parts of the process, causing major production losses. A large concentrator plant can have up to 150 different types of pumps in operation. Metso Outotec mill discharge (MD) pumps are robust and have been designed to operate reliably in highly abrasive environments, providing optimal solutions for each part of the process,” says Diwakar Aduri, Product Manager, MD Pumps at Metso Outotec.

Keeping the industry’s ever evolving needs in mind, Metso Outotec MD Series pumps offer outstanding uptime and sustained efficiencies. The MD pumps have been designed for efficient operation and longest wear life to match the mill’s uptime.

Metso Outotec’s MD Series pumps come in two tailored solutions, MDM and MDR. The MDM (Mill Discharge Metal) pumps are available in size ranges of 250-700, and the MDR (Mill Discharge Rubber) models come in size ranges of 250-700. Both pump types are suited for heavy-duty use in concentrator plants offering excellent resistance to abrasion and erosion.

Analysis service for selecting the correct pump

When selecting a slurry pump for a mine, one should look for the most robust and technologically advanced pump in terms of performance, wear resistance, uptime and total cost of ownership. Metso Outotec offers analysis service for this purpose with a detailed summary report and guidance on how to minimize total cost of ownership. It is also possible to check an initial fit using Metso Outotec’s 3D models available on the webpage.

Find out more about the Metso Outotec MD Series pumps on our webpage.

Further information, please contact:

Diwakar Aduri, Product Manager, MD Pumps, Metso Outotec, tel. +1 803.210.7577, email: diwakar.aduri(at)mogroup.com

Helena Marjaranta, Vice President, Communications and Brand, Metso Outotec, tel. +358 20 484 3212, email: helena.marjaranta(at)mogroup.com

Metso Outotec is a frontrunner in sustainable technologies, end-to-end solutions and services for the aggregates, minerals processing, metals refining and recycling industries globally. By improving our customers’ energy and water efficiency, increasing their productivity, and reducing environmental risks with our product and process expertise, we are the partner for positive change.

Headquartered in Helsinki, Finland, Metso Outotec employs over 15,000 people in more than 50 countries and its pro forma sales for 2019 were about EUR 4.1 billion. The company is listed on the Nasdaq Helsinki. mogroup.com, twitter.com/metsooutotec.

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Indonesian miners sign $1.46B China coal deal Asia News Network

THE INDONESIAN Coal Mining Association (APBI) on November 25 signed a deal with the

China Coal Transport and Distribution (CCTD) association to export $1.46 billion worth of coal to China next year.

The value is low compared to that of realised exports this year, but the APBI said in a joint statement with the Ministry of Energy and Mineral Resources on November 26 that it hoped the deal would translate into 200 million tonnes of coal exports to China next year.

Ministry spokesman Agung Pribadi said: “This presents a positive opportunity to realign production levels to the expected projections.”

The ministry expects Indonesia to export 461 million tonnes of coal worldwide next year whereby China, as Indonesia’s biggest coal buyer, plays a key role in meeting that target.

The ministry in November 26’s statement noted that Indonesian coal exports to the East Asian country reached $4.9 billion up until September this year, a bigger figure than the deal value.

Coal demand collapsed this year, resulting in the Indonesian benchmark coal price plummeting to a five-year low of $49.42 per tonne in September, before recovering to $55.71 per tonne in November, ministry data show.

Nonetheless, the price remains weaker than the average $77.89 per tonne last year with experts predicting prices to remain below 2019 levels throughout next year.

APBI chairman Pandu Sjahrir said: “With this deal, coal miners are optimistic for 2021 even though the global coal market is not expected to recover to 2018-2019 levels.”

The deal signing ceremony was attended by several big names in the coal mining industry including PT Adaro Energy, PT Kideco Jaya Agung and PT Toba Bara Sejahtra, as well as Coordinating Maritime Affairs and Investment Minister Luhut Binsar Pandjaitan. THE JAKARTA POST/ASIA NEWS NETWORK

Demand for Australian coal set to fall in China in 2021 By Yin Yeping, Chu Daye and Tao Mingyang

AUSTRALIA’s coal exporters are likely to miss a windfall from China’s recovering coal

demand in 2021 and the quantity of Australian coal shipments to China reached the lowest point in history in November, analysts and industrial insiders told the Global Times on Sunday.

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Asked about over 50 vessels anchored off Chinese ports waiting to offload coal from Australia, Chinese Foreign Ministry spokesperson Zhao Lijian said on November 25 that Chinese customs had found many cases where the imported coal didn't meet China’s environmental protection standards. Zhao said that customs officials have strengthened the quality, safety and environmental inspections for imported coal to better protect the rights and interests of Chinese companies and ensure environmental safety.

Some Chinese power and steel companies had received verbal notification about a suspension of Australian coal imports in October.

A coal import and export trader in Caofeidian district, a large coal discharging port in Tangshan, North’s China Hebei Province, told the Global Times that imports of coal from Australia had been stopped.

The trader, who spoke to the Global Times on condition of anonymity, said there was roughly 3.4 million tons of seaborne coal from Australia currently anchored offshore.

"The customs authority conducted three inspections to get the volumes of these cargoes but there has been no clearance information. The operating system of the General Administration of Customs has been closed and the customs declaration process cannot be carried out.” The trader predicted that the curbs on Australian coal will be continued in 2021.

Zhao Yang, founder of Meitan Jianghu, a Chinese coal circulation industry information sharing platform, told the Global Times that there is still uncertainty over the situation with Australian coal.

"No coal shipments have been sent to China in the past two weeks and only two ships have come to China in the last four weeks from Newcastle port in New South Wales State, one of the biggest ports for coal exports to China,” Zhao said.

The shipments of coking coal are low as well. There were only two coking ships sent to China in November, while about 15 ships were sent in the same period last year.

With the Chinese economy recovering from the COVID-19 pandemic, the supply and demand relationship in the coal industry will return to normal. According to predictions from sxcoal.com, the demand for coal will rise steadily and the supply capacity will be improved as well.

"Although Australia's coal quality is relatively good, I estimate that its recent coal exports to China may have deviated from the purity stated in the contract, so it is reasonable to regard it as substandard,” Li Chaolin, an expert at the China Coal Transportation and Sale Society, told the Global Times on Sunday, referring to the recent statement by Zhao Lijian.

"China's domestic supply of coal is falling, but it is still more expensive than imports due to the high cost of transportation by road,” said Li.

However, there are various coal exporting countries and one does not have to import it from Australia, experts said.

"If China reduces coal imports from Australia, a modest amount can be received from countries such as Mongolia, where quality coal has a reasonable price,” said Li.

There was surprising news over the weekend that China has secured 28.72 million tons of coal from Indonesia in a deal worth $1.467 billion.

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When asked to predict the situation for imported Australian coal in 2021, Zhao said it will follow the China-Australia relationship.

"Import and export traders or terminals like power plants and cement plants generally follow the government’s policies,” Zhao said.

Copper Mountain updates mine plan with 65,000 t/d mill expansion Canadian Mining Journal Staff

COPPER Mountain Mining has announced an updated life-of-mine plan, completed at a pre-feasibility study level, for its 75%-owned Copper Mountain mine in southern B.C. The latest report incorporates a mill expansion to 65,000 t/d, up from 40,000 t/d currently and, according to the release, “increases Copper Mountain’s after-tax net present value (NPV) by over 60% to $1 billion, on higher production and lower costs,” when compared with last year’s technical report.

The latest study builds on a 45,000 t/d mill expansion that is now underway and expected to start up in the third quarter of next year.

The new mill expansion scenario features a 21-year mine, producing an average of 106 million lb. of copper and 60,000 oz. of gold annually, at cash costs of $1.21 per lb. over its life. The initial capital cost for the 65,000 t/d expansion is estimated at $123 million, plus a 25% contingency, for a total of $148 million. Assuming $3.15 per lb. copper, $1,700 per oz. gold and $22 per oz. silver, the net present value estimate for the expanded operation stands at $1.01 billion, at an 8% discount rate.

“The 65,000 t/d expansion, which moves the Copper Mountain mine to about a billion dollars of asset value, clearly underscores the mine’s quality, and our team’s ability to potentially grow reserves and value further,” Gil Clausen, Copper Mountain’s president and CEO, said in a release. “This mill expansion study builds upon the growth projects that are already underway and illustrates the immense potential that the Copper Mountain Mine provides.”

Clausen added that Copper Mountain will now refine the capital cost estimates for the project as it prepares for a development decision.

The current flowsheet at Copper Mountain includes two-stage crushing, semi-autogenous grinding, a pebble crusher, two ball mills and a sulphide flotation circuit. To complete the expansion to 45,000 t/d, the miner is working to add a third ball mill. The 65,000 t/d option would include the installation of a high pressure grinding roll (HPGR) circuit, the addition of a fourth ball mill, as well as a regrind verti-mill and require additional rougher and cleaner flotation capacity and electrical system upgrades.

The technical report sees the circuit additions starting up in early 2024.

According to the release, the expansion to 65,000 t/d represents a plant-wide improvement, which would also yield lower operating costs, reduce energy consumption, improve flotation performance and de-bottleneck concentrate dewatering for greater operational flexibility.

Daily News Update Page 27

This project would not require any additions to the mining fleet as “the existing fleet already produces sufficient ore supply to feed the concentrator at the planned milling rates.”

Clausen also highlighted that all of the deposits at the site remain open. The company is working to fund the latest growth option with internal cash flows.

This year, the mine is expected to generate 70 to 75 million lb. of copper, at all-in costs of $1.85 to $2 per lb. copper.

Copper Mountain Mining has a 75% stake in the Copper Mountain mine (Mitsubishi Materials holds a 25% interest).

Midday Monday, Copper Mountain’s stock was up 7% on the TSE. The company has a C$337 million market capitalization.

Lundin Mining forecasts 2021 copper production to jump 25%

CANADIAN miner Lundin Mining Corp on Monday forecast higher copper production for

fiscal year 2021, mainly driven by better grades at Candelaria in Chile and uninterrupted full-

year contribution from Brazilian mines of Candelaria and Chapada.

The outlook comes shortly after a collective agreement was made with all unions

representing employees at the Candelaria mine who went on strike and suspended operations in October. Lundin revised 2020 outlook for Candelaria operations, and now expects production to come between 120,000 tonnes and 125,000 tonnes, compared with previous forecast of 160,000 tonnes and 175,000 tonnes.

The Canadian miner sees 2021 copper production to increase 25% to between 275,000 tonnes and 299,000 tonnes, and added that zinc production will increase 30% in 2022 as the Neves-Corvo Zinc Expansion Project in Portugal could complete its ramp-up in the first half of that year.

(Reporting by Arunima Kumar in Bengaluru, Editing by Sherry Jacob-Phillips)

Australian coal exports face 'perfect storm' as China restrictions hit By Eryk Bagshaw and Anthony Galloway

AUSTRALIAN coal exports face a GFC-style threat to their viability, one of the country's top insolvency experts will claim as Chinese import restrictions, reduced demand and funding for renewables wipes out key markets.

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McGrathNicol’s chairman Jason Preston will on Tuesday say the escalation of China’s trade restrictions completes "a perfect storm" for coal exporters, as dozens of ships carrying up to $700 million worth of coal remain stranded off the Chinese coast unable to unload their cargo.

"It comes on top of COVID dampening coal demand, fiscal stimulus policies being directed to competing renewable energy and [environmental, social, and corporate] governance policies causing investors to reduce their exposure to carbon," he said.

"Together, this renewed pressure from China means that Australian coal exporters are facing their own GFC. We are working with clients to structure their business and finances through these challenges", he said referring to the recession caused by the 2008 global financial crisis.

Chinese imports of Australian coking coal fell by more than 20 per cent in October compared to the same time last year, Commonwealth Bank analysis shows. At the same time as local state-backed miners ramp up production and China increases its imports from Canada, Russia and Mongolia. Australia exported up to $14 billion worth of coking and thermal coal to China in 2018-19.

The comments from Mr Preston come ahead of a McGrathNicol event on Tuesday with former prime minister Malcolm Turnbull, economist Carol Austin and McGrathNicol senior risk adviser John Garnaut.

Mr Garnaut, who was Mr Turnbull's China adviser while he was prime minister, will discuss their role in formulating the Turnbull government's China strategy publicly for the first time.

The policy led to world-first foreign interference legislation, the Coalition's decision to ban Huawei in 2018 and a framework to counter the "covert, coercive and corrupting" diplomatic methods of the Chinese Communist Party that has now been adopted by the US National Security Council.

The decisions also raised diplomatic tensions with Beijing. Those disputes accelerated sharply this year after the Morrison government called for an independent inquiry into the origins of the coronavirus pandemic in April.

China's trade disputes with Australia now span $20 billion in exports across the coal, wine, seafood, timber, barley and cotton sectors. In mid-November the Chinese embassy released a list of 14 grievances and urged the Australian government to change course on its foreign policy positions.

After the Morrison government refused, Beijing imposed tariffs of up to 200 per cent on Australian wine last week, effectively wiping out Australia's wine exports to China.

Trade Minister Simon Birmingham said taking up disputes to the World Trade Organisation would be the next step.

"There is a clear pattern here. It's a deep, deep concern, and it certainly is creating the perception that these actions are being driven by matters outside of what should ordinarily be trade decisions" he said.

David Olsson, the president of the Australia China Business Council on Monday backed the Morrison government's foreign and national security policy position.

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“China’s decision to apply tariffs to Australian wine exports is the latest in a series of measures that seem calculated to provoke anger and outrage in Australia, presumably in the expectation that business and community pressure will compel the government to buckle in response to the 14 grievances," he said.

"Beijing’s calculus is a grave misreading of how Australia responds to the tactics of coercion. The government cannot and will not buckle to strong-arm tactics."

But he said while "Australia cannot bend the knee in response to Beijing’s pressure" he hoped that every effort was being invested in finding a circuit breaker in the relationship.

In a sign that a largely bipartisan trade and foreign policy position on China may be fraying Labor's trade spokeswoman Madeleine King on Monday questioned why Australia called for an inquiry into the origins of the coronavirus in April.

"I don't know why we went first. Why us?," she said. "This is our most important economic relationship that we have. We have more to lose than most as a smaller trading nation."

Australia now has 10 days to respond to China's preliminary decision to impose the wine tariff.

Australian Grape and Wine chief executive Tony Battaglene said the industry would support taking China to the World Trade Organisation once it hands down its final decision.

"The arguments put forward by the Ministry of Commerce are pretty weak in my view, but then they were always going to be because there's no evidence of dumping," he said.

"Do we expect it [Australia's appeal] to do any good? No, but what we need to set up is the evidentiary trail to eventually get down the track towards WTO action."