Daily News Update Page 1

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Towards the End of the Year, Here's the Realization of Production and Sales of Mineral Mining Commodities Jelang tutup tahun, begini realisasi produksi dan penjualan komoditas tambang mineral Multi-tiered Coal Royalty, Price Projection Must Be Right! Royalti Batu Bara Berjenjang, Proyeksi Harga Harus Tepat! Ready to Work on Furnace 4 Projects, Vale Indonesia (INCO) sets capex of US$ 135 million in 2021 Siap Garap Proyek Furnace 4, Vale Indonesia (INCO) Patok Capex US$135 Juta pada 2021 The strengthening of coal prices will push Indo Tambang's performance to exceed expectations Penguatan Harga Batu Bara bakal Dorong Kinerja Indo Tambang Melebihi Ekspektasi Amman Mineral Nusa Tenggara is waiting for the right time to IPO Amman Mineral Nusa Tenggara menunggu waktu yang tepat untuk IPO United Tractor (UNTR) Allocates a Capex of Gold Mining of Rp 1.69 Trillion United Tractor (UNTR) Anggarkan Capex Tambang Emas Rp1,69 Triliun Covid-19 Does Not Hinder Mining, Nickel Cs Production Runs Smoothly! Covid-19 Tak Hambat Tambang, Produksi Nikel dkk Lancar Jaya! Bumi Resources Minerals (BRMS) announced that there are two standby buyers in the rights issue Bumi Resources Minerals (BRMS) umumkan ada dua pembeli siaga dalam rights issue Note, these are nine incentives for coal downstream business actors Catat, Ini Sembilan Insentif untuk Pelaku Usaha Hilirisasi Batu Bara

Kontan CNBC Indonesia Bisnis Investor Daily Kontan Bisnis CNBC Indonesia Kontan Dunia Energi

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Daily News Update Page 2

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There are 11% companies that have not complied with the nickel mineral benchmark price (HPM) regulation Ada 11% perusahaan yang belum memenuhi aturan harga patokan mineral (HPM) nikel Mining Business Actors Complain about Surveyor Performance, What's Up? Pelaku Usaha Pertambangan Keluhkan Kinerja Surveyor, Ada Apa? Coal Prices Rise Due to China's Import Ban Harga Batu Bara Naik Imbas Larangan Impor China Freeport CEO sees banner years ahead after gains won in ‘battle’ Whitehaven bolsters Winchester South ambitions Oyu Tolgoi underground production to start in 2022 Freeport-McMoRan completes sale of Kisanfu project for US$550 million Strengthening Australia thermal coal prices to have limited upside for semisoft: sources Russia may benefit from trade rift between China and Australia

Kontan Bisnis CNN Indonesia Mining.com Australian Mining Mining Weekly Global Mining News S&P Global Platts Russia Today

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Daily News Update Page 3

Towards the End of the Year, Here's the Realization of

Production and Sales of Mineral Mining Commodities

Reporter: Ridwan Nanda Mulyana | Editor: Anna Suci Perwitasari

THE MINISTRY of Energy and Mineral

Resources (ESDM) noted that the production and sales performance of mineral products is stil l maintained as planned. Some commodities have approached, some even exceeded the target. However, some are still far below the annual plan.

Director of Mineral Development and Business Yunus Saefulhak revealed that there are seven mineral products registered by the Directorate General of Mineral and Coal (Minerba). As of November 2020, the realization of copper cathode production reached 266,900 tons or 91.7 percent of the target of 291,000 tons.

Then, gold production is 60.1 tonnes or 85.1% of the planned production in 2020. Silver production is already 305.2 tonnes or 89% of the target.

Furthermore, all nickel products have exceeded the target. Production of FeroNelel has reached 1.32 million tons or 101.9% of the target. Meanwhile, Nickel Pig Iron (NPI) production reached 797,900 tons, equivalent to 127% of the target, and nickel matte production was 85,200 tons or 118.8% of the target.

As for the mineral commodity whose production is still far from the target is tin. Until November, the realization of the production was still 49,300 tons or only 70.5 percent of the planned production of 70,000 tons in 2020.

Jelang Tutup Tahun, Begini Realisasi Produksi dan

Penjualan Komoditas Tambang Mineral

Reporter: Ridwan Nanda Mulyana | Editor: Anna Suci Perwitasari

KEMENTERIAN Energi dan Sumber Daya

Mineral (ESDM) mencatat, kinerja produksi dan penjualan produk-produk mineral masih terjaga sesuai rencana. Beberapa komoditas sudah mendekati, bahkan ada yang melebihi target. Namun ada juga yang masih jauh di bawah rencana tahunan.

Direktur Pembinaan dan Pengusahaan Mineral Yunus Saefulhak mengungkapkan, ada tujuh produk mineral yang tercatat oleh Ditjen Mineral dan Batubara (Minerba). Hingga November 2020, reali-sasi produksi katoda tembaga mencapai 266.900 ton atau 91,7% dari target yang sebesar 291.000 ton.

Lalu, produksi emas sebesar 60,1 ton atau 85,1% dari rencana produksi di 2020. Produksi perak sudah sebanyak 305,2 ton atau 89% dari target.

Selanjutnya untuk produk nikel seluruhnya sudah melampaui target. Produksi FeroNikel sudah mencapai 1,32 juta ton atau 101,9% dari target. Sedangkan produksi Nickel Pig Iron (NPI) mencapai 797.900 ton setara 127% dari target, dan produksi nikel matte sebanyak 85.200 ton atau 118,8% dari target.

Adapun komoditas mineral yang produksi-nya masih jauh dari target adalah timah. Hingga November realisasi produksinya masih 49.300 ton atau baru 70,5% dari rencana produksi 70.000 ton di 2020.

Daily News Update Page 4

According to Yunus, the level of mineral commodity production also depends on price movements. "Production decreased because yesterday the price of tin was a bit depressed. Therefore, PT Timah, which is the largest producer, has lowered its production, I think it is reasonable," said Yunus in the Indonesia Mining Outlook, Wednesday (16/12).

From the export side, copper cathodes sold overseas reached 204,300 tons or 102.1% of the plan. Gold exports also exceeded the target of 39.6 tonnes (104.4%), as did silver exports totaling 226.6 tonnes (124.3%).

Then tin exports until November 2020 amounted to 59,900 tons (81.3%), nickel matter exports were 79,100 tons (108.8%), NPI exports were 275,400 tons (80.4%), while Ferronickel exports were 1.13 million tons or 65 , 9% of the plan.

Yunus said that the still low ferronickel exports could not be separated from the delay in operating schedule for the PT Aneka Tambang Tbk (Antam) smelter in East Halmahera. The smelter was not operational because of the lack of electricity supply.

"Everything (exports) except Ferronickel. Why? Because it was planned that in East Halmahera, Antam should be a smelter, but not. Because of the electricity supply, we need a link and match between the smelter industry and supply power," said Yunus.

Meanwhile, for domestic sales, there are only six mineral commodities. For copper cathodes, domestic sales were only 55,400 tons, or only 57.8 percent of the target.

The low absorption of copper cathodes in the country cannot be separated from some of the cable industry which is still importing. According to Yunus,...

Menurut Yunus, tingkat produksi komo-ditas mineral juga tergantung pada pergerakan harga. "Produksi menurun karena kemarin harga timah agak sedikit tertekan. Oleh karena itu PT Timah yang memproduksi terbesar, menurunkan produksinya, saya kira hal yang wajar," kata Yunus dalam Indonesia Mining Outlook, Rabu (16/12).

Dari sisi ekspor, katoda tembaga yang dijual ke luar negeri mencapai 204.300 ton atau 102,1% dari rencana. Ekspor emas juga melebihi target yakni 39,6 ton (104,4%), begitu juga ekspor perak sebanyak 226,6 ton (124,3%).

Kemudian ekspor timah hingga November 2020 sebesar 59.900 ton (81,3%), ekspor nikel matter 79.100 ton (108,8%), ekspor NPI 275.400 ton (80,4%), sedangkan ekspor Feronikel sebesar 1,13 juta ton atau 65,9% dari rencana.

Yunus bilang, masih rendahnya ekspor feronikel tak lepas dari mundurnya jadwal operasional smelter PT Aneka Tambang Tbk (Antam) di Halmahera Timur. Smelter tersebut tak kunjung beroperasi lantaran terkendala belum adanya pasokan listrik.

"Baik semua (ekspor) kecuali Feronikel. Kenapa? karena direncanakan di Halmahera Timur punya Antam harusnya jadi smelter, tapi tidak jadi. Karena supply listriknya, jadi perlu link and match antara industri smelter dan supply power," sebut Yunus.

Sedangkan untuk penjualan di dalam negeri tercatat hanya ada enam komoditas mineral. Untuk katoda tembaga, penjualan domestik hanya 55.400 ton atau baru 57,8% dari target.

Rendahnya serapan katoda tembaga di dalam negeri tak lepas dari sebagian industri kabel yang masih melakukan impor. Menurut Yunus,...

Daily News Update Page 5

According to Yunus, there should be a special policy from the Ministry of Trade and the Ministry of Finance to provide incentives, so that imports are reduced and the absorption of copper cathodes in the country increases.

"I think there needs to be a special policy in the financial sector. There are several fiscal facilities that need to be improved," he said.

Furthermore, domestic gold sales until November 2020 amounted to 33.3 tons or 101.4% of the target. Meanwhile, silver was 75 tons (95.3%). Then, domestic sales of tin amounted to 2,700 tons, that number has reached 266.2% of the plan.

For nickel products, only Ferronickel and NPI were recorded domestic sales. Ferronickel of 308,900 tons and NPI of 352,900 tons. "Because stainless steel only absorbs Virtue Dragon and Morowali, everything else is exported," concluded Yunus.

Menurut Yunus, semestinya ada kebijakan khusus dari Kementerian Perdagangan dan Kementerian Keuangan untuk memberikan insentif, supaya impor berkurang dan penyerapan katoda tembaga di dalam negeri meningkat.

"Saya kira perlu ada kebijakan khusus di sektor keuangan, ada beberapa fasilitas fiskal yang perlu diperbaiki," katanya.

Selanjutnya, penjualan emas domestik hingga November 2020 sebesar 33,3 ton atau 101,4% dari target. Sedangkan perak sebesar 75 ton (95,3%). Lalu, penjualan timah di dalam negeri sebesar 2.700 ton, jumlah itu sudah mencapai 266,2% dari rencana.

Untuk produk nikel, hanya Feronikel dan NPI yang tercatat ada penjualan di dalam negeri. Feronikel sebesar 308.900 ton dan NPI 352.900 ton. "Karena stainless steel yang menyerap hanya Virtue Dragon dan di Morowali, yang lainnya di ekspor," pungkas Yunus.

Multi-tiered Coal Royalty, Price Projection Must Be Right!

Anisatul Umah, CNBC Indonesia

COAL royalties for holders of Special

Mining Business Permits (IUPK) as a continuation of the Coal Mining Exploitation Work Agreement (PKP2B) are reportedly set to increase.

The Ministry of Energy and Mineral Resources (ESDM) proposes to the Ministry of Finance to apply the royalty amount gradually adjusted to the price of coal.

Royalti Batu Bara Berjenjang, Proyeksi Harga Harus Tepat!

Anisatul Umah, CNBC Indonesia

ROYALTI batu bara bagi pemegang Izin

Usaha Pertambangan Khusus (IUPK) sebagai kelanjutan dari Perjanjian Karya Pengusahaan Pertambangan Batu Bara (PKP2B) dikabarkan bakal naik.

Kementerian Energi dan Sumber Daya Mineral (ESDM) mengusulkan kepada Kementerian Keuangan agar menerapkan besaran royalti secara berjenjang di-sesuaikan dengan harga batu bara.

Daily News Update Page 6

Responding to the government's plan, Executive Director of the Indonesian Coal Mining Association (APBI) Hendra Sinadia said coal companies would comply with regulations made by the government, including state revenues, in this case royalty rates.

However, he continued, he hopes that in the preparation of this royalty rate, many aspects need to be considered, not only in terms of state revenue, but also from the side of the mining industry in order to be sustainable.

"We see from the side of the contribution of coal mining, I think coal mining as a source of energy security is also an important contributor to state revenue. On the other hand, the coal mining industry needs attention when the government compiles the royalty policy rate," he said in an interview with CNBC Indonesia, Wednesday (16/12/2020).

Hendra said that the coal industry is highly dependent on uncontrollable prices, because it depends on supply and demand. Then, in terms of production costs, according to him, it also needs to be considered, because the older the mine is, the more expensive the production costs will be.

"So here it gets complicated, how the government sets the royalty rate. If the royalty rate is very high, then this will be burdensome for the company to continue its business because the production costs will be very high," he explained.

Hendra also compared it with other mining countries where the Indonesian royalty rate was considered uncompetitive.

"In applying the coal price level, it is necessary to consider the future outlook. Of course it will be difficult for coal to return to its golden age," he explained.

Menanggapi rencana pemerintah tersebut, Direktur Eksekutif Asosiasi Pertambangan Batu Bara Indonesia (APBI) Hendra Sinadia mengatakan perusahaan batu bara akan mematuhi regulasi yang dibuat oleh pemerintah, termasuk penerimaan negara dalam hal ini tarif royalti.

Namun, lanjutnya, pihaknya berharap dalam penyusunan tarif royalti ini perlu mempertimbangkan banyak aspek, tidak hanya dari sisi penerimaan negara, tapi juga dari sisi industri pertambangan agar bisa berkelanjutan.

"Kita lihat dari sisi kontribusi pertambangan batu bara, saya kira pertambangan batu bara sebagai sumber ketahanan energi juga kontr ibutor penting pada penerimaan negara. Di sisi lain, industri pertambangan batu bara perlu diperhatikan ketika peme-rintah menyusun tarif kebijakan royalti," ungkapnya dalam wawancara bersama CNBC Indonesia, Rabu (16/12/2020).

Hendra menyebut industri batu bara sangat tergantung pada harga yang tidak dapat dikontrol, karena tergantung suplai dan permintaan. Kemudian, dari sisi biaya produksi menurutnya juga perlu jadi pertimbangan, karena semakin tua usia tambang, maka biaya produksinya akan semakin mahal.

"Nah di sinilah akan rumit, bagaimana pemerintah menetapkan tarif royalti. Jika tarif royaltinya sangat tinggi, maka ini akan memberatkan perusahaan untuk bisa melanjutkan usahanya karena biaya produksinya akan sangat tinggi," paparnya.

Hendra pun membandingkan dengan negara-negara pertambangan lainnya di mana tarif royalti Indonesia menurutnya dianggap tidak kompetitif.

"Dalam menerapkan level harga batu bara, maka perlu pertimbangkan outlook ke depan. Tentu akan sulit komoditas batu bara kembali ke masa keemasan," jelasnya.

Daily News Update Page 7

Previously, the Director General of Mineral

and Coal at the Ministry of ESDM, Ridwan

Djamaluddin, admitted that the govern-

ment is currently preparing a RPP on coal

PNBP, which is under the Ministry of

Finance's authority.

Even though it is under the authority of the

Ministry of Finance, his party has made a

number of recommendations in this

regard. In providing recommendations, his

party also takes into account the interests

of business entities.

"Regarding coal royalties, there is a

taxation plan and PNBP. Initiatives are

being carried out by the Ministry of

Finance, the ball there. We provide input

and views, that we must pay attention to

the interests of business entities, we have

conveyed them," he said during the

Hearing Meeting ( RDP) with Commission

VII DPR, Thursday (10/12/2020).

He said that one of the proposals

submitted by his party to the Ministry of

Finance was to apply a tiered royalty

amount adjusted to the price of coal.

However, the amount of the gap, according

to him, is still not determined because it is

still being discussed.

"If I may mention it in general, we, the

Ministry of ESDM, are proposing tiered

royalties depending on the price of coal.

Currently, apologize once again, even

though this is temporary, this tiered spirit

is understandable. However, we are still

discussing the tiered figure," he said. (wia)

Sebelumnya, Direktur Jenderal Mineral dan Batu Bara Kementerian ESDM Ridwan

Djamaluddin mengakui saat ini pemerintah memang tengah menyusun RPP tentang

PNBP batu bara yang kewenangannya berada di bawah Kementerian Keuangan.

Meski menjadi kewenangan Kementerian

Keuangan, namun pihaknya memberikan sejumlah rekomendasi terkait hal ini.

Dalam memberikan rekomendasi, pihak-nya juga memperhatikan kepentingan

badan usaha.

"Terkait royalti batu bara ini memang ada RPP Perpajakan dan PNBP. Inisiatif di-

lakukan oleh Kementerian Keuangan, bola di sana. Kami memberikan masukan-

masukan dan pandangan, bahwa kita harus perhatikan kepentingan badan usaha,

sudah kami sampaikan," tuturnya saat Rapat Dengar Pendapat (RDP) dengan

Komisi VII DPR, Kamis (10/12/2020).

Dia menyebutkan, salah satu usulan yang

disampaikan pihaknya kepada Kemen-terian Keuangan yaitu dengan menerapkan

besaran royalti berjenjang disesuaikan dengan harga batu bara. Namun berapa

besaran angka perjenjangannya itu menurutnya ini masih belum ditentukan

karena masih dibahas.

"Jika boleh saya sebutkan secara umum, kami Kementerian ESDM mengusulkan

royalti berjenjang tergantung dengan harga batu bara. Saat ini, mohon maaf

sekali lagi meskipun ini sifatnya sementara, semangat berjenjang ini sudah

dapat dipahami. Namun, kami masih membahas angka perjenjangannya itu,"

tuturnya. (wia)

Daily News Update Page 8

Ready to Work on Furnace 4 Projects, Vale Indonesia (INCO)

sets capex of US$135 million in 2021

Finna U. Ulfah

THE MINERAL mining company, PT Vale

Indonesia Tbk., Has allocated a capital expenditure or capital expenditure of US$ 135 million in 2021.

Director of Vale Indonesia Bernardus Irmanto said that the capital expenditure (capex) allocation was larger than this year's targeted allocation of around US$ 120 million. This is in l ine with the realization of the furnace 4 redevelopment project, which was delayed this year.

“[Capex 2021] is mostly used for furnace 4 rebuilds. There is an allocation of capital for mine development and equipment replacement as well. The estimated capital allocation in 2021 is in the range of US$ 135 million,” said Irmanto to Bisnis.com, Wednesday (16/12/2020).

For information, the issuer coded INCO shares postponed the furnace 4 renovation project, which was originally planned to run in the fourth quarter of 2020, to be implemented in May 2021.

In fact, most of the company's capex allocation this year will be used for the mine facility renovation project. Based on Bisnis records, the company needs at least US$ 70 million to rebuild the furnace 4.

Meanwhile, the postponement of the project takes into account the ongoing Covid-19 pandemic because the project is quite massive, requiring a workforce of up to 1,000 workers and a work period of up to 5 months.

Siap Garap Proyek Furnace 4, Vale Indonesia (INCO) Patok

Capex US$135 Juta pada 2021 Finna U. Ulfah

EMITEN pertambangan mineral, PT Vale

Indonesia Tbk., mengalokasikan belanja modal atau capital expenditure sebesar US$ 135 juta pada 2021.

Direktur Vale Indonesia Bernardus Irmanto mengatakan bahwa alokasi capital expenditure (capex) itu lebih besar dibandingkan dengan alokasi tahun ini yang ditargetkan sekitar US$120 juta. Hal itu sejalan dengan realisasi pengerjaan proyek pembangunan ulang furnace 4 yang sempat tertunda pada tahun ini.

“[Capex 2021] sebagian besar digunakan untuk rebuild furnace 4. Ada alokasi capital untuk mine development dan juga peng-gantian alat juga. Estimasi alokasi capital pada 2021 di kisaran US$135juta,” ujar Irmanto kepada Bisnis.com, Rabu (16/12/ 2020).

Untuk diketahui, emiten berkode saham INCO menunda proyek peremajaan furnace 4 yang semula direncanakan berjalan pada kuartal IV/2020, menjadi akan dilaksanakan pada Mei 2021.

Padahal, sebagian besar alokasi capex perseroan pada tahun ini akan digunakan untuk proyek peremajaan fasilitas tambang itu. Berdasarkan catatan Bisnis, perseroan membutuhkan setidaknya sebesar US$70 juta untuk pembangunan ulang furnace 4.

Adapun, penundaan proyek itu memper-timbangkan pandemi Covid-19 yang masih berlangsung karena proyek tersebut cukup masif membutuhkan tenaga kerja hingga 1.000 pekerja dan periode pengerjaan hingga 5 bulan.

Daily News Update Page 9

Not only that, the Covid-19 pandemic also

hampered the rate of materials needed by

the project and there were several

obstacles from contractor services.

Meanwhile, Irmanto said that the company

had started part of the expenditure for the

furnace rebuild this year to ensure that the

project could start on target and not be

delayed again.

Irmanto explained that the capex allocation

will come from the company's internal

cash.

On the other hand, with the progress of the

project next year INCO projects that the

company's production volume will be at a

lower level than in 2020 and 2019.

As an illustration, in the third quarter of

2020, INCO recorded 19,477 tonnes of

nickel in matte production volume. This

realization was 4 percent higher than the

company's production volume in the

previous quarter of 18,701 tons.

However, this realization was lower than

the production in the third quarter of 2019

in the range of 19,820 tons.

Thus, in the first nine months of this year,

INCO's nickel in matte production

amounted to 55,792 tons, up 10 percent

compared to production in the same

period last year of 50,531 tons. Editor:

Aprianto Cahyo Nugroho

Tidak hanya itu, pandemi Covid-19 juga

menghambat laju material yang dibutuh-

kan oleh proyek itu dan terdapat beberapa

kendala dari jasa kontraktor.

Sementara itu, Irmanto mengatakan bahwa

sebagian belanja untuk keperluan furnace

rebuild sudah dimulai oleh perseroan pada

tahun ini untuk memastikan proyek dapat

dimulai sesuai target dan tidak tertunda

lagi.

Irmanto menjelaskan bahwa alokasi capex

itu akan berasal dari kas internal per-

seroan.

Di sisi lain, dengan berjalannya proyek

tersebut pada tahun depan INCO mem-

proyeksi volume produksi perseroan akan

berada di tingkat yang lebih rendah dari-

pada 2020 maupun 2019.

Sebagai gambaran, pada kuartal III/2020,

INCO mencacatkan volume produksi nikel

dalam matte sebanyak 19.477 ton. Reali-

sasi itu lebih tinggi 4 persen dibandingkan

dengan volume produksi perseroan pada

kuartal sebelumnya sebesar 18.701 ton.

Namun, realisasi itu lebih rendah daripada

produksi kuartal III/2019 di kisaran

19.820 ton.

Dengan demikian, dalam sembilan bulan

pertama tahun ini produksi nikel dalam

matte INCO sebesar 55.792 ton, naik 10

persen dibandingkan dengan produksi

pada periode yang sama tahun lalu sebesar

50.531 ton. Editor : Aprianto Cahyo Nugroho

Daily News Update Page 10

The strengthening of coal prices will push Indo Tambang's

performance to exceed expectations

Parluhutan Situmorang

THE LARGE global demand for coal which

is in line with expectations of economic recovery will have a positive impact on the future financial performance of PT Indo Tambangraya Megah Tbk (ITMG). The company also benefits from the acquisition of a coal mining company with low calorie.

Trimegah Sekuritas analysts Hasbie and Willinoy Sitorus revealed that China re-opened coal imports with a quota of 20 million tons until the end of 2020. Previously, China had tightened coal imports since June 2020 by extending custom clearance from 30 days to 90 days.

"We estimate that this increase in imports will boost demand for coal from Indonesia. Moreover, after China's economy returns to normal, the price of coal in that country is getting higher ,” wrote Hasbie and Willinoy Sitorus in their research.

However, the national coal producers may not react immediately by increasing production volume. In fact, coal production volume in 2020 is projected to decline by around 9.5% to 550 million tonnes. The decline can be seen from the weakening production and overburden removal of coal companies by 14% and 22%, respectively, as of September 2020.

Regarding the prospect of coal, Hasbie and Willinoy believe that it will remain the backbone of global energy sources for electricity generation for the next few years. Although there is a reduction...

Penguatan Harga Batu Bara bakal Dorong Kinerja Indo

Tambang Melebihi Ekspektasi Parluhutan Situmorang

BESARNYA permintaan batu bara dunia

yang sejalan dengan ekspektasi pemulihan ekonomi bakal berdampak positif terhadap kinerja keuangan PT Indo Tambangraya Megah Tbk (ITMG) ke depan. Perseroan juga diuntungkan oleh akuisisi perusahaan tambang batu bara berkalori rendah.

Analis Trimegah Sekuritas Hasbie dan Willinoy Sitorus mengungkapkan, Tiongkok kembali membuka impor batu bara dengan kuota sebanyak 20 juta ton sampai akhir 2020. Sebelumnya, Tiongkok sempat mem-perketat impor batu bara sejak Juni 2020 dengan memperlama custom clearance dari 30 hari menjadi 90 hari.

“Kami memperkirakan peningkatan impor ini akan mendorong permintaan batu bara dari Indonesia. Apalagi, setelah ekonomi Tiongkok kembali normal, harga batu bara di Negara tersebut semakin tinggi,” tulis Hasbie dan Willinoy Sitorus dalam risetnya.

Meski demikian, produsen batu bara nasional kemungkinan tidak langsung bereaksi dengan menaikkan volume produksi. Justru volume produksi batu bara tahun 2020 diproyeksi turun sekitar 9,5% menjadi 550 juta ton. Penurunan terlihat dari pelemahan produksi dan overburden removal emiten batu bara masing-masing 14% dan 22% hingga September 2020.

Terkait prospek batu bara, Hasbie dan Willinoy meyakini bahwa itu tetap akan menjadi tulang punggung sumber energy global untuk pembangkit listrik hingga beberapa tahun mendatang. Meskipun ada pengurangan...

Daily News Update Page 11

Although there is a reduction in the share of coal use for electricity generation in the long term, the decrease is not significant. In fact, there are still many new coal power plant developments that have the potential to increase demand for this commodity.

Based on data, the use of coal for energy in Asia Pacific has only decreased by 43 bps in a decade, from 51.8% in 2009 to 47.5% in 2019. Currently, there are power plants reaching 189 GW which are entering the construction period in the world, most or 70% of whom came from China and India as much as 19%. This illustrates that coal is still the main source of global energy.

The strengthening trend of global coal prices has prompted Hasbie and Willinoy to revise upward the assumption for the average selling price of coal in 2020-2022 from US$ 57/58/60 per ton to US$ 60.6/72.5/68 per ton. They also believe that almost all large coal companies still have good balance sheets and finances to face a number of challenges ahead, such as the extension of the Coal Mining Exploitation Work Agreement (PKP2B).

On the other hand, Mirae Asset Sekuritas Indonesia analyst Andy Wibowo Gunawan revealed that the outlook for coal for the short and medium term remains solid, in line with expectations of an increase in electricity consumption in China after successfully facing the Covid-19 pandemic.

"In addition, electricity consumption in these countries tends to increase in the second semester each year compared to the first semester. Meanwhile, China's electricity consumption in 2021-2022 is estimated to be higher than the realization in 2020," wrote Andy in his research.

The increase in demand for coal, according to him, will also be supported by China's coal production in 2021-2022, which is estimated at 3.49 billion tons and 3.51 billion tons, respectively.

Meskipun ada pengurangan porsi penggunaan batu bara untuk pembangkit listrik dalam jangka panjang, namun penurunannya tidak signifikan. Bahkan, saat ini masih banyak pembangunan power plant batu bara baru yang berpotensi menaikkan permintaan terhadap komoditas ini.

Berdasarkan data, penggunaan batu bara untuk energi di Asia Pasifik hanya turun 43 bps dalam satu dekade, yaitu dari 51,8% pada 2009 menjadi 47,5% pada 2019. Saat ini, ada pembangkit listrik mencapai 189 GW yang sedang memasuki masa konstruksi di dunia yang sebagian besar atau 70% di antaranya berasal dari Tiongkok dan India sebanyak 19%. Hal itu menggambarkan batu bara masih men-jadi sumber utama energi global.

Adapun tren penguatan harga batu bara global mendorong Hasbie dan Willinoy untuk merevisi naik asumsi rata-rata harga jual batu bara tahun 2020-2022 dari US$57/58/60 per ton menjadi US$ 60,6/72,5/68 per ton. Mereka juga meyakini bahwa hampir seluruh perusahaan batu bara besar masih memiliki neraca dan keuangan yg baik untuk menghadapi sejumlah tantangan ke depan, seperti perpanjangan Perjanjian Karya Pengusahaan Pertambangan Batubara (PKP2B).

Di lain pihak, analis Mirae Asset Sekuritas Indonesia Andy Wibowo Gunawan meng-ungkapkan, outlook batu bara untuk jangka pendek dan menengah tetap solid, seiring dengan ekspektasi peningkatan konsumsi listrik di Tiongkok setelah berhasil menghadapi pandemi Covid-19.

“Selain itu, konsumsi listrik di negara tersebut cenderung mengalami lonjakan pada semester II setiap tahun dibandingkan semester I. Sedangkan konsumsi listrik Tiongkok pada 2021-2022 diperkirakan lebih tinggi dibanding-kan realisasi tahun 2020,” tulis Andy dalam risetnya.

Peningkatan permintaan batu bara, menurut dia, juga bakal didukung oleh produksi batu bara Tiongkok tahun 2021-2022 yang masing-masing diperkirakan sebanyak 3,49 miliar ton dan 3,51 miliar ton.

Daily News Update Page 12

Meanwhile, the country's coal production throughout 2020 is estimated to only reach 3.32 billion tons. The estimated Chinese coal consumption in 2025 will reach 4.2 billion tons compared to the realization in 2019 of 3.98 billion tons.

This assumption is in line with the large demand for electrical energy in the country. Thus, the average selling price of coal could reach US$ 70 per ton in 2021 and again increase to US$ 75 per ton in 2022.

These various factors prompted Mirae Asset Sekuritas to maintain its recommen-dation to overweight mining sector stocks. It is recommended that ITMG shares be purchased with a target price of Rp 16,900.

Prospects

Indo Tambangraya Megah will benefit from the increasing trend in the average selling price of coal in 2021. The increase in selling price will encourage the company's financial performance to be higher than originally expected.

However, Trimegah Sekuritas has revised down its coal production volume target for Indo Tambang this year from 20 million tons to 19.1 million tons. Meanwhile, the average selling price has been revised upward from US$ 53.7 per ton to US$ 54.5 per ton.

The decrease in the production volume target prompted Trimegah Sekuritas to revise Indo Tambang's revenue this year from US$ 1.26 billion to US$ 1.14 billion. Meanwhile, the projection for 2020 net profit was revised up from US$ 21 million to US$ 54 million.

Likewise, the company's coal production projection in 2021 has been revised down from 20.7 million tons to 19.8 million tons. However, the selling price was revised upward from US$ 53.7 per ton to US$ 65.3 per ton.

Sedangkan produksi batu bara negara tersebut sepanjang 2020 diperkirakan hanya mencapai 3,32 miliar ton. Adapun perkiraan konsumsi batu bara Tiongkok pada 2025 mencapai 4,2 miliar ton diban-dingkan realisasi tahun 2019 sebanyak 3,98 miliar ton.

Asumsi ini seiring besarnya permintaan energi listrik di negara tersebut. Dengan demikian, rata-rata harga jual batu bara bisa mencapai US$ 70 per ton pada 2021 dan kembali naik menjadi US$ 75 per ton pada 2022.

Berbagai faktor tersebut mendorong Mirae Asset Sekuritas untuk mempertahankan rekomendasi overweight saham sektor pertambangan. Saham ITMG direkomen-dasikan beli dengan target harga Rp 16.900.

Prospek

Indo Tambangraya Megah akan diuntung-kan oleh tren kenaikan rata-rata harga jual batu bara tahun 2021. Lonjakan harga jual tersebut bakal mendorong kinerja keuangan perseroan yang lebih tinggi dari ekspektasi semula.

Namun, Trimegah Sekuritas merevisi turun target volume produksi batu bara Indo Tambang tahun ini dari 20 juta ton menjadi 19,1 juta ton. Sedangkan rata-rata harga jual direvisi naik dari US$ 53,7 per ton menjadi US$ 54,5 per ton.

Penurunan target volume produksi ter-sebut mendorong Trimegah Sekuritas merevisi turun pendapatan Indo Tambang tahun ini dari US$ 1,26 miliar menjadi US$ 1,14 miliar. Sedangkan proyeksi laba bersih tahun 2020 direvisi naik dari US$ 21 juta menjadi US$ 54 juta.

Begitu juga dengan proyeksi produksi batu bara perseroan tahun 2021 yang direvisi turun dari 20,7 juta ton menjadi 19,8 juta ton. Namun, harga jual direvisi naik dari US$ 53,7 per ton menjadi US$ 65,3 per ton.

Daily News Update Page 13

Trimegah also revised up Indo Tambang's 2021 revenue target from US$ 1.29 billion to US$ 1.41 billion. The net profit target has been revised up from US$ 23 million to US$ 88 million. In addition to the factor of rising selling prices, Indo Tambang has received positive support from Graha Panca Karsa (GPK), a low-calorie and sulfur coal company, which was acquired by the company.

The new mine is estimated to contribute as much as 1.5 million tons per year starting in 2022. The company will use the mining production to comply with the DMO coal regulatory policy. The coal will be sold to the domestic market, which currently can only be met by 19% of the minimum target of around 25%.

Indo Tambang also still has sufficient coal reserves to be mined for at least the next 15 years. The company must realize the acquisition of a coal mine to boost future production volume. Therefore, Trimegah Sekuritas maintains a recommendation to buy ITMG shares with a target price of Rp 16,900. Editor: Gora Kunjana

Trimegah juga merevisi naik target pen-dapatan Indo Tambang tahun 2021 dari US$ 1,29 miliar menjadi US$ 1,41 miliar. Target laba bersih direvisi naik dari US$ 23 juta menjadi US$ 88 juta.Selain faktor kenaikan harga jual, Indo Tambang men-dapatkan dukungan positif dari Graha Panca Karsa (GPK), perusahaan batu bara rendah kalori dan sulfur, yang diakuisisi oleh perseroan.

Tambang baru ini diperkirakan berkontri-busi sebanyak 1,5 juta ton per tahun mulai tahun 2022. Produksi tambang tersebut akan dimanfaatkan perseroan untuk memenuhi kebijakan regulasi DMO batu bara. Batu bara tersebut akan dijual untuk pasar domestik yang saat ini baru bisa dipenuhi 19% dari target minimum sekitar 25%.

Indo Tambang juga masih memiliki cadangan batu bara yang cukup untuk ditambang setidaknya hingga 15 tahun mendatang. Perseroan harus merealisasikan akuisisi tambang batu bara untuk mendongkrak volume produksi ke depan. Karena itu, Trimegah Sekuritas mempertahankan reko-mendasi beli saham ITMG dengan target harga Rp 16.900. Editor : Gora Kunjana

Amman Mineral Nusa Tenggara is waiting for the right time to

IPO Reporter: Ika Puspitasari | Editor: Wahyu T.

Rahmawati

PT MEDCO Energi Internasional Tbk

(MEDC) plans to list the shares of its subsidiary, PT Amman Mineral Nusa Tenggara (AMNT) on the Indonesia Stock Exchange (IDX). AMNT is preparing to conduct an initial public offering (IPO) in the capital market.

Amman Mineral Nusa Tenggara menunggu waktu yang tepat

untuk IPO Reporter: Ika Puspitasari | Editor: Wahyu T.

Rahmawati

PT MEDCO Energi Internasional Tbk (MEDC)

berencana untuk mencatatkan saham anak usahanya yakni PT Amman Mineral Nusa Tenggara (AMNT) di Bursa Efek Indonesia (BEI). AMNT tengah bersiap untuk melaksana-kan penawaran umum saham perdana alias initial public offering (IPO) di pasar modal.

Daily News Update Page 14

Leony Lervyn, Public and Internal Relations of Medco Energi cannot confirm when this MEDC subsidiary will conduct an IPO. This is because the company is still monitoring market developments and looking for the right time. "The implementation of AMNT's IPO will depend on market conditions," Leony told Kontan.coid, Wednesday (16/12).

In Kontan.co.id's notes, MEDC management explained that this mining company in Sumbawa has good prospects. Amman Mineral Nusa Tenggara is the second largest company in Indonesia working on a copper-gold mine, after PT Freeport Indonesia.

AMNT is currently focusing on developing mining in phase 7. The investment for this mine could reach US$ 3 million per day. AMNT has also begun to reap the rewards by mining that has reached ore or ore.

Infovesta Utama Head of Investment Research Wawan Hendrayana assessed that the prospective issuer from the gold mining sector is quite attractive. He predicts that next year's gold price will still be stable even though it tends to fall. "If the price of gold stays above US$ 1,500 per troi ounce, it is still good," he said.

Leony Lervyn, Public and Internal Relations Medco Energi belum dapat memastikan kapan anak usaha MEDC ini akan melakukan IPO. Pasalnya, perusahaan tersebut masih me-mantau perkembangan pasar dan mencari waktu yang tepat. “Pelaksanaan IPO AMNT akan bergantung pada kondisi pasar,” kata Leony kepada Kontan.coid, Rabu (16/12).

Dalam catatan Kontan.co.id, manajemen MEDC memaparkan perusahaan tambang di Sumbawa ini memiliki prospek yang bagus. Amman Mineral Nusa Tenggara merupakan perusahaan terbesar kedua di Indonesia yang menggarap tambang tembaga-emas, setelah PT Freeport Indonesia.

Sekarang ini AMNT sedang berfokus untuk melakukan pengembangan penambangan di fase 7. Adapun investasi untuk tambang ini bisa mencapai US$ 3 juta per hari. AMNT pun mulai memetik hasilnya dengan penambangan yang sudah mencapai ore atau bijih tambang.

Head of Investment Research Infovesta Utama Wawan Hendrayana menilai, calon emiten dari sektor pertambangan emas ini cukup menarik. Ia memprediksi harga emas pada tahun depan masih akan stabil meski cenderung turun. “Kalau harga emas bertahan di atas US$ 1.500 per ons troi itu masih bagus,” katanya.

United Tractor (UNTR) Allocates

a Capex of Gold Mining of Rp1.69 Trillion

Finna U. Ulfah

ISSUER of the Astra Group entity, PT United

Tractors Tbk., Allocated capital expenditure (capex) for the next year to be US$ 290 million or around Rp4.09 trillion (exchange rate of Rp14,100 per US dollar) in line with the prospect of economic recovery. One of the largest capex allocations for gold mining.

United Tractor (UNTR)

Anggarkan Capex Tambang Emas Rp1,69 Triliun

Finna U. Ulfah

EMITEN entitas Grup Astra, PT United Tractors

Tbk., mengalokasikan belanja modal atau capital expenditure (capex) pada tahun depan menjadi US$290 juta atau sekitar Rp4,09 triliun (kurs Rp14.100 per dolar AS) seiring dengan prospek pemulihan ekonomi. Salah satu alokasi capex terbesar untuk tambang emas.

Daily News Update Page 15

United Tractors Corporate Secretary Sara K. Loebis said that the company allocated a capital expenditure of US$ 290 million which would later come from the company's internal pockets.

Meanwhile, about 50 percent of the capex of US$ 145 million (around Rp2.04 trillion) will be allocated to the mining contractor business segment to replace outdated heavy equipment.

"Then, about 40 percent or around US$ 120 million [around Rp1.69 trillion] is for the gold mining segment for processing plant development and operation improve-ment, while the rest is regular capex for maintenance," Sara told Bisnis, Wednesday (16/12/2020 ).

She explained that next year's capex will be higher than the projected capex realization in 2020 which is only around US$ 190 million.

In fact, previously the issuer coded UNTR shares had cut capex this year to US$ 230 million to US$ 250 million from the initial 2020 guidance of US$ 450 million.

The capex cut is inseparable from the impact of the Covid-19 pandemic, which is a business challenge for the company in line with weakening global commodity prices.

On the other hand, UNTR reported a consolidated net income of Rp 46.5 trillion as of September 30, 2020. The realization was down 29 percent from Rp 65.6 trillion in the third quarter of 2019.

In addition, profit attributable to owners of the parent company decreased by 38 percent to Rp 5.3 trillion from Rp 8.6 trillion in the same period in 2019. Editor:

Hafiyyan

Corporate Secretary United Tractors Sara K. Loebis mengatakan bahwa perseroan mengalokasikan belanja modal US$290 juta yang nantinya akan berasal dari kantong internal perseroan.

Adapun, sekitar 50 persen capex US$145 juta (sekitar Rp2,04 triliun) akan dialokasi-kan untuk segmen bisnis kontraktor pertambangan untuk pergantian alat berat yang sudah usang.

“Lalu, sekitar 40 persen atau sekitar US$120 juta [sekitar Rp1,69 triliun] untuk segmen pertambangan emas untuk pengembangan processing plant dan operation improvement, sedangkan sisanya regular capex untuk pemeliharaan,” ujar Sara kepada Bisnis, Rabu (16/12/2020).

Dia menjelaskan bahwa capex tahun depan itu akan lebih tinggi daripada proyeksi realisasi capex pada 2020 yang hanya sekitar US$190 juta.

Padahal, sebelumnya emiten berkode saham UNTR itu telah memangkas capex tahun ini menjadi sebesar US$230 juta hingga US$250 juta dari panduan awal 2020 sebesar US$450 juta.

Pemangkasan capex itu tidak terlepas sebagai dampak dari pandemi Covid-19 yang menjadi tantangan bisnis bagi perseroan seiring dengan melemahnya harga komoditas global.

Di sisi lain, UNTR melaporkan pendapatan bersih konsolidasian Rp46,5 triliun per 30 September 2020. Realisasi itu turun 29 persen dari Rp65,6 triliun pada kuartal III/2019.

Selain itu, laba yang diatribusikan kepada pemilik entitas induk turun sebesar 38 persen menjadi Rp5,3 triliun dari Rp8,6 triliun pada periode yang sama pada 2019. Editor : Hafiyyan

Daily News Update Page 16

Covid-19 Does Not Hinder

Mining, Nickel Cs Production Runs Smoothly!

Anisatul Umah, CNBC Indonesia

THE COVID-19 pandemic has not hampered mineral commodity production, even though the production of some commodities has reached more than 100% of the target as of last November.

This was conveyed by the Director of Mineral Development and Business of the Directorate General of Mineral and Coal (Minerba) of the Ministry of ESDM Yunus Saefulhak.

Yunus said that the realization of copper cathode production until November 2020 had reached 91% of the target, 85% gold, 80% silver, 70% tin, 101% ferronickel, 127% nickel pig iron (NPI), and 108% nickel matte.

According to him, the achievement of tin production was only 70% due to the depressed price, so that the production was reduced. According to him, this condition is normal.

"Maybe some people with this pandemic have decreased their production. But from our data, there are still those whose achievements are above 100% of the target, that's the fact of production," he said in 'Indonesia Mining Outlook 2021' via YouTube Tambang TV, Wednesday (16/12/2020).

Meanwhile, according to him, the average export achievement of mineral commodities also showed positive things, except for ferronickel. This is because...

Covid-19 Tak Hambat Tambang,

Produksi Nikel dkk Lancar Jaya! Anisatul Umah, CNBC Indonesia

PANDEMI Covid-19 tidak membuat

produksi komoditas mineral terhambat, bahkan produksi sebagian komoditas telah

mencapai di atas 100% dari target hingga November lalu.

Hal tersebut disampaikan oleh Direktur Pembinaan dan Pengusahaan Mineral

Direktorat Jenderal Mineral dan Batu Bara (Minerba) Kementerian ESDM Yunus

Saefulhak.

Yunus menyebutkan, realisasi produksi

katoda tembaga hingga November 2020 telah mencapai 91% dari target, emas

85%, perak 80%, timah 70%, feronikel 101%, nickel pig iron (NPI) 127%, dan

nickel matte 108%.

Menurutnya, capaian produksi timah hanya 70% dikarenakan harganya yang

tertekan, sehingga produksinya di-turunkan. Kondisi ini menurutnya wajar

terjadi.

"Mungkin sebagian orang dengan adanya

pandemi ini menjadikan produksinya turun. Tapi dari data kami, masih ada yang

capaiannya sudah di atas 100% dari target, itu fakta dari produksi," ungkapnya dalam

'Indonesia Mining Outlook 2021' melalui YouTube Tambang TV, Rabu (16/12/

2020).

Sementara itu, menurutnya capaian ekspor

rata-rata komoditas mineral juga me-nunjukkan hal positif, kecuali feronikel. Hal

ini dikarenakan...

Daily News Update Page 17

This is because PT Aneka Tambang Tbk (Antam)'s smelter in East Halmahera should have been operating, but now it is still constrained due to the unavailability of electricity supply, so operations must be postponed.

"I think the export achievement is extra-ordinary, copper cathode has reached 102%, gold 104%. I think everything is good, except ferronickel," he said.

He further said that domestic sales for copper cathodes were quite low at 57.8% because some of the cable industry could not absorb all of the production. Then, 95% silver, and gold 101%. (wia)

Hal ini dikarenakan mestinya smelter milik PT Aneka Tambang Tbk (Antam) di Halmahera Timur telah beroperasi, namun kini masih terkendala karena masalah belum tersedianya pasokan listrik, sehingga operasional harus ditunda.

"Capaian ekspor saya kira luar biasa katoda tembaga sudah capai 102%, emas 104%. Saya kira baik semua, kecuali feronikel," ujarnya.

Lebih lanjut dia mengatakan, penjualan domestik untuk katoda tembaga cukup rendah yakni sebesar 57,8% karena sebagian industri kabel tidak bisa menyerap semua produksi. Lalu, perak 95%, dan emas 101%. (wia)

Bumi Resources Minerals (BRMS) announced that there are two standby buyers in the

rights issue Reporter: Akhmad Suryahadi | Editor:

Herlina Kartika Dewi

PT BUMI Resources Minerals Tbk (BRMS)

has announced a number of the latest information regarding the plan to increase capital with pre-emptive rights (PMHMETD) or rights issue.

In his statement, Herwin W. Hidayat, Director & Investor Relations of PT Bumi Resources Minerals Tbk said most of the terms and conditions in the PMHMETD plan by BRMS remained the same.

However, there is a slight change in the delivery of information regarding Warrants (implementation period and amount of availability) and regarding Standby Buyers. The latest prospectus...

Bumi Resources Minerals (BRMS) umumkan ada dua pembeli siaga dalam rights

issue Reporter: Akhmad Suryahadi | Editor:

Herlina Kartika Dewi

PT BUMI Resources Minerals Tbk (BRMS)

mengumumkan adanya sejumlah informasi terkini terkait rencana Penambahan Modal Dengan Hak Memesan Efek Terlebih Dahulu (PMHMETD) atau rights issue.

Dalam keterangannya, Herwin W. Hidayat, Director & Investor Relations PT Bumi Resources Minerals Tbk mengatakan sebagian besar dari syarat dan ketentuan dalam rencana PMHMETD oleh BRMS tetap sama.

Hanya saja, ada sedikit perubahan dalam penyampaian informasi mengenai Waran (periode pelaksanaan dan jumlah keter-sediaan) serta mengenai Pembeli Siaga. Prospektus terkini...

Daily News Update Page 18

The latest prospectus has been submitted to the Financial Services Authority (OJK) on 15 December 2020

First, for every 250 new shares issued in the PMHMETD, 267 warrants are attached. Previously, for every 250 new shares issued in the PMHMETD, 270 warrants were attached. Meanwhile, the owner of one warrant still has the opportunity to buy one BRMS share at the price of Rp 70 per share.

Meanwhile, BRMS also announced a change in the schedule for exercising warrants. The exercise period for warrants is valid from 28 July 2021 to 30 September 2021. Previously, the exercise of warrants took place from 28 July 2021 to 26 January 2024.

Furthermore, BRMS also announced two standby buyers who were willing to buy new shares issued in this corporate action, if the relevant shareholders did not exercise their rights.

Herwin said, the first standby buyer is willing to buy as much as 6.22 billion new shares issued (27%).

Referring to the previous disclosure of information as of November 17, 2020, Hartman International Pte. Ltd. has agreed to subscribe the remaining shares which are not subscribed by the shareholders for a maximum of 6.22 billion shares at the same price as the exercise price of the Limited Public Offering I (PUT I), which is Rp 70 per share.

In addition, there is also another second standby buyer who is willing to buy up to 16.68 billion new shares issued (73%). However, BRMS has not announced who will be the second standby buyer.

The use of fresh proceeds from the rights issue has not changed. The use of the proceeds from...

Prospektus terkini telah disampaikan kepada Otoritas Jasa Keuangan (OJK) pada 15 Desember 2020

Yang pertama, setiap 250 saham baru yang diterbitkan dalam PMHMETD tersebut melekat 267 waran. Sebelumnya, setiap 250 saham baru yang diterbitkan dalam PMHMETD tersebut melekat 270 waran. Sementara pemilik satu waran tetap memiliki kesempatan untuk membeli satu saham BRMS di harga Rp 70 per saham.

Sementara itu, BRMS juga mengumumkan adanya perubahan jadwal pelaksanaan waran. Periode pelaksanaan waran tersebut berlaku sejak 28 Juli 2021 sampai 30 September 2021. Sebelumnya, pelaksanaan waran berlangsung sejak 28 Juli 2021 sampai 26 Januari 2024.

Lebih lanjut, BRMS juga mengumumkan dua pembeli siaga atau standby buyer yang telah bersedia untuk membeli saham-saham baru yang diterbitkan dalam aksi korporasi ini, apabila para pemegang saham terkait tidak menggunakan haknya.

Herwin mengatakan, pembeli siaga pertama bersedia membeli sebanyak-banyaknya 6,22 miliar saham baru yang diterbitkan (27%).

Mengacu pada keterbukaan informasi sebelumnya per tanggal 17 November 2020, Hartman International Pte. Ltd. telah sepakat untuk mengambil bagian sisa saham yang tidak diambil bagian oleh para pemegang saham sebanyak-banyaknya 6,22 miliar saham pada harga yang sama dengan harga pelaksanaan Penawaran Umum Terbatas I (PUT I) yaitu sebesar Rp 70 setiap saham.

Selain itu, ada pula satu lagi pembeli siaga kedua yang bersedia membeli sebanyak-banyaknya 16,68 miliar lembar saham baru yang diterbitkan (73%). Meski demikian, BRMS belum mengumumkan pihak yang menjadi pembeli siaga kedua ini.

Adapun penggunaan dana segar hasil rights issue ini tidak berubah. Penggunaan dana hasil...

Daily News Update Page 19

The use of the proceeds from the rights issue includes the construction of a gold ore processing plant with a capacity of 4,000 tons per day worth US$ 48 million, and drilling work in four gold prospects to increase the amount of reserves & resources of ore in Palu worth US$ 23 million.

Funds will also be used for drilling work in two gold prospects to increase the amount of reserves and ore resources in Gorontalo worth US$ 5.25 million.

As well as the settlement of bills for BRMS and its business units, including preparations for the construction and operation of the first factory with a capacity of 500 tons per day in Palu, which has been operating since February 2020, valued at US$ 29 million.

The rest will be used to finance working capital for the company's operational activities.

Penggunaan dana hasil rights issue ini diantaranya untuk pembangunan pabrik pengolahan bijih emas dengan kapasitas 4.000 ton per hari senilai US$ 48 juta, dan pekerjaan pengeboran di empat prospek emas untuk menambah jumlah cadangan & sumber daya bijih di Palu senilai US$ 23 juta.

Dana juga akan digunakan untuk pekerjaan pengeboran di dua prospek emas untuk menambah jumlah cadangan dan sumber daya bijih di Gorontalo senilai US$ 5,25 juta.

Serta pelunasan tagihan BRMS dan unit usahanya, termasuk diantaranya, persiapan pelaksanaan konstruksi dan pengoperasian pabrik pertama dengan kapasitas 500 ton per hari di Palu yang telah beroperasi sejak Februari 2020 senilai US$ 29 juta.

Sisanya, akan digunakan untuk pembiayaan modal kerja untuk kegiatan operasional perusahaan.

Note, these are nine incentives for coal downstream business

actors Rio Indrawan

THE GOVERNMENT has prepared at least nine special incentives to accelerate the downstreaming of coal, especially through the gasification process which results in the production of Dymethyl Ether (DME).

Irwandy Arief, Special Staff of the Minister of ESDM for the Acceleration of Mineral and Coal Governance, said that the first incentive that is ready to be given to business actors is the application of royalties of up to 0% for coal processed in gasification.

Catat, Ini Sembilan Insentif untuk Pelaku Usaha Hilirisasi

Batu Bara Rio Indrawan

PEMERINTAH menyiapkan sedikitnya sembilan insentif khusus yang untuk men-dorong percepatan hilirisasi batu bara, terutama melalui proses gasifikasi yang menghasilkan produksi Dymethyl Ether (DME).

Irwandy Arief, Staf Khusus Menteri ESDM Bidang Percepatan Tata Kelola Minerba, mengatakan insentif pertama yang siap diberikan kepada para pelaku usaha adalah pemberlakuan royalti hingga 0% untuk batu bara yang diolah dalam gasifikasi.

Daily News Update Page 20

Second, the special coal price formula for gasification. Next is the validity period of the Mining Business License (IUP) according to the economic age of the gasification project. This means that the company can continue to operate indefinitely as long as its production can produce downstream products.

"For example, an extension of 10 years to the economy from the life of the project," said Irwandy, Tuesday (15/12).

According to Irwandy, the three incentives are being discussed in detail with the Ministry of Finance. This is because it will also affect state revenues in terms of applying royalties which can be up to 0%.

Furthermore, the fourth incentive is in the form of a tax holiday (corporate income tax specifically according to the economic age of coal gasification). Then there is also a VAT exemption from coal processing services to syngas by 0%. Sixth, local content EPC VAT exemption. The two incentive proposals are currently being discussed by the Ministry of Finance and the Coordinating Ministry for Economic Affairs.

For the seventh incentive, the government will set a benchmark price for gasification products such as the DME benchmark price. Eighth, the transfer of part of the LPG subsidy to DME in accordance with the substituted LPG portion. This incentive is currently being discussed by the Ministry of ESDM and the Ministry of Finance. Finally, "there is certainty of downstream product offtaker," said Irwandy.

In the gasification project undertaken by PT Bukit Asam Tbk (PTBA), this offtaker business will become the responsibility of PT Pertamina (Persero).

Apart from these incentives, the government said they had formed a working group (pokja) to prepare a roadmap for the development and utilization of coal.

Kedua, formula harga khusus batu bara untuk gasifikasi. Selanjutnya adalah masa berlaku Izin Usaha Pertambangan (IUP) sesuai umur ekonomis proyek gasifikasi. Ini artinya perusahaan bisa terus beroperasi tak terbatas sepanjang produksinya bisa menghasilkan produk hilirisasi.

“Misalnya perpanjangan 10 tahun sampai dengan keekonomian dari umur proyek itu,” kata Irwandy, Selasa (15/12).

Menurut Irwandy, ketiga insentif tersebut sedang dibahas detail bersama dengan Kementerian Keuangan. Pasalnya juga akan mempengaruhi penerimaan negara dalam hal penerapan royalti yang bisa sampai 0%.

Selanjutnya, insentif keempat berupa tax holiday (PPh badan secara khusus sesuai umur ekonomis gasifikasi batu bara). Lalu ada juga pembebasan PPN jasa pengolahan batubara menjadi syngas sebesar 0%. Keenam, pemebabasan PPN EPC kandungan lokal. Kedua usulan insentif tersebuts sedang dibahas oleh Kemenkeu dan Kementerian Koordinator Bidang Perekonomian.

Untuk insentif ketujuh, pemerintah akan menetapkan harga patokan produk gasifikasi seperti harga patokan DME. Kedelapan, pengalihan sebagian subsidi LPG ke DME sesuai porsi LPG yang disubstitusi. Insentif ini sedang dibahas oleh Kementerian ESDM dan Kemenkeu. Terakhir, “adanya kepastian offtaker produk hilirisasi,” kata Irwandy.

Dalam proyek gasifikasi yang digarap PT Bukit Asam Tbk (PTBA) untuk urusan offtaker ini akan menjadi tanggung jawab PT Pertamina (Persero).

Selain insentif tersebut, pemerintah kata sudah membentuk kelompok kerja (pokja) untuk menyusun roadmap pengembangan dan pemanfaatan batu bara.

Daily News Update Page 21

Five Pokjas were formed. First, the coal resource working group. Second, the coal infrastructure working group and down-stream product infrastructure. Third, the working group for the readiness of technology for economic and environmental feasibility of the downstream process. Fourth, working groups support policies and cooperation schemes. Fifth, working groups are prepared for the downstream product marketing strategy. (RI)

Ada lima Pokja yang dibentuk. Pertama,

pokja sumber daya batubara. Kedua, pokja

infrastruktur batubara dan infrastruktur

produk hilir. Ketiga, pokja kesiapan

teknologi kelayakan ekonomi dan

lingkungan proses hilirisasi. Keempat,

pokja dukungan kebijakan dan skema

kerjasama. Kelima, pokja kesiapan strategi

pemasaran produk hilirisasi. (RI)

There are 11% companies that

have not complied with the nickel mineral benchmark price

(HPM) regulation Reporter: Ridwan Nanda Mulyana | Editor:

Khomarul Hidayat

THE ESDM Directorate General of Mineral

and Coal (Ditjen Minerba) claims that the domestic nickel trading system based on the mineral benchmark price (HPM) is already underway. Even so, there are still a number of companies that have not met the requirements.

Director of Mineral Development and Business Yunus Saefulhak said that the HPM-based domestic nickel trading system refers to the Minister of ESDM Regulation (Permen) Number 11 of 2020. This trade system is enforced because the price of nickel ore purchased by the smelter has a very large difference below the Cost of Production. (COGS).

"We set HPM, especially nickel, which goes awry, because the price is too jumping below the HPP. It's sad, so it needs to be corrected with HPM," said Yunus in the Indonesia Mining Outlook, Wednesday (16/12).

Ada 11% perusahaan yang

belum memenuhi aturan harga patokan mineral (HPM) nikel

Reporter: Ridwan Nanda Mulyana | Editor: Khomarul Hidayat

DIREKTORAT Jenderal Mineral dan

Batubara (Ditjen Minerba) Kementerian ESDM mengklaim, tata niaga nikel domestik berdasar harga patokan mineral (HPM) sudah berjalan. Kendati begitu, masih ada sejumlah perusahaan yang belum memenuhi ketentuan.

Direktur Pembinaan dan Pengusahaan Mineral Yunus Saefulhak menyampaikan, tata niaga nikel domestik berbasis HPM itu mengacu pada Peraturan Menteri (Permen) ESDM Nomor 11 Tahun 2020. Tata niaga itu diberlakukan lantaran harga bijih nikel yang dibeli smelter memiliki selisih yang sangat besar di bawah Harga Pokok Produksi (HPP).

"Kita menetapkan HPM, khususnya nikel yang terjadi gonjang-ganjing, karena adanya harga yang terlalu jumping di bawah HPP. Menyedihkan, sehingga perlu dibetulkan dengan HPM," sebut Yunus dalam Indonesia Mining Outlook, Rabu (16/12).

Daily News Update Page 22

To ensure the implementation of the nickel trading system in the field , the Coordinating Ministry for Maritime Affairs and Investment (Kemenko Marves) has also formed a supervisory team for the implementation of nickel HPM through the Ministerial Decree No. Marves. 18/2020.

Under the supervision, said Yunus, the Directorate General of Mineral and Coal at the Ministry of ESDM supervises the production of HPM to the holders of Mining Business Permits (IUP) for Production Operations and IUP OPK for Transpor-tation and Sales (traders).

From the perspective of submitting contract documents, a total of 73 companies have received a warning letter. Of that number, there are 67 companies (91.8%) that have submitted sales contracts and certificates of no sales.

The results of the evaluation, Yunus revealed, that a total of 65 companies (89%) had complied with HPM and surveyors appointed by the government. Meanwhile, there were 8 companies (11%) who were not in accordance with the HPM and surveyors appointed by the govern-ment.

Yunus emphasized that his party would provide strict sanctions for companies that did not meet HPM regulations. "So Alhamdulillah it has started (running), I think there will be reprimands 1, 2, and 3, in the end the (permit) is revoked. I think we will be firm in implementing this HPM because this will provide justice for all parties," he said.

The HPM value is indeed lower than the nickel price in the international market. It is not without reason. According to Yunus, the HPM formulation has taken into account the profit margins that can be achieved by smelter entrepreneurs and nickel ore miners.

Untuk memastikan implementasi tata niaga nikel di lapangan, Kementerian Koor-dinator Bidang Kemaritiman dan Investasi (Kemenko Marves) pun sudah membentuk tim pengawas pelaksanaan HPM nikel lewat Kepmenko Marves No. 18/2020.

Di dalam pengawasan tersebut, kata Yunus, Ditjen Minerba Kementerian ESDM melakukan pengawasan penarapan HPM kepada para pemegang Izin Usaha Pertam-bangan (IUP) Operasi Produksi dan IUP OPK Pengangkutan dan Penjualan (trader).

Dilihat dari sisi penyampaian dokumen kontrak, total ada 73 perusahaan yang sudah mendapatkan surat teguran. Dari jumlah itu, ada 67 perusahaan (91,8%) yang sudah menyampaikan surat kontrak penjualan dan surat keterangan tidak ada penjualan.

Hasil dari evaluasi tersebut, Yunus mem-beberkan, total ada 65 perusahaan (89%) yang sudah sesuai dengan HPM dan surveyor yang ditunjuk oleh pemerintah. Sedangkan perusahaan yang belum sesuai dengan HPM dan surveyor yang ditunjuk pemerintah ada sebanyak 8 perusahaan (11%).

Yunus menegaskan, pihaknya akan mem-berikan sanksi tegas bagi perusahaan yang tidak memenuhi ketentuan HPM. "Jadi Alhamdulillah sudah mulai (berjalan), saya kira nanti akan dilakukan teguran 1, 2, dan 3, pada akhirnya pencabutan (izin). Saya kira kita akan tegas untuk menerapkan HPM ini karena ini akan memberi keadilan bagi semua pihak," ujarnya.

Nilai HPM ini memang lebih rendah dibandingkan dengan harga nikel di pasar internasional. Hal itu bukan tanpa alasan. Menurut Yunus, formulasi dalam HPM itu sudah mempertimbangkan margin keun-tungan yang bisa diraih pengusaha smelter maupun penambang bijih nikel.

Daily News Update Page 23

"We make (HPM) how to provide a good smelter investment climate, but it has provided a margin for mining business entities," said Yunus.

On the same occasion, Secretary General of the Indonesian Nickel Miners Association (APNI) Meidy Katrin Lengkey confirmed that smelter purchases of domestic nickel ore have started referring to HPM.

Even so, the implementation of the nickel trading system is not without obstacles. First, in all transaction contracts only cost, insurance and freight (CIF) schemes or contracts at smelter ports apply. With a free on board (FoB) contract, miners are only given around US$ 3/mt to cover the barging costs.

"This means that in this condition many miners who are far away from locations such as from the Maluku, North Maluku, Papua, as well as some districts in the Southeast Sulawesi region have to subsidize the barging fees of around US$ 5-US$ 8/mt," explained Meidy.

Second, dispute from the surveyor aspect. Meidy said, since October 2020, surveyors who are intertech or have not been registered at the Ministry of ESDM and the Ministry of Trade have been replaced by surveyors Anindya who were selected by smelter companies.

The problem is that currently Anindya's surveyors have not been able to meet the needs of analysis testing. In addition, there are often differences in the results of the analysis of nickel ore news between the loading port and the loading port which are detrimental to suppliers or miners.

"The conditions that occur often dispute the difference in levels between the port of loading and the port of loading. There have been several complaints about perfor-mance,...

"Kita buat (HPM) bagaimana supaya mem-berikan iklim investasi smelter yang baik, tapi sudah memberikan margin bagi badan usaha tambang," sebut Yunus.

Dalam kesempatan yang sama, Sekretaris Jenderal Asosiasi Penambang Nikel Indonesia (APNI) Meidy Katrin Lengkey membenarkan bahwa transaksi pembelian bijih nikel domestik oleh smelter sudah mulai mengacu pada HPM.

Kendati begitu, pelaksanaan tata niaga nikel bukan tanpa kendala. Pertama, dalam seluruh kontrak transaksi hanya berlaku skema cost, insurance and freight (CIF) atau kontrak di pelabuhan smelter. Jika dengan kontrak free on board (FoB) penambang hanya diberikan sekitar US$ 3/mt untuk menanggung biaya tongkang.

"Artinya dalam kondisi ini banyak penambang yang jauh lokasinya seperti dari wilayah Maluku, Maluku Utara, Papua, amupun sebagian kabupaten di wilayah Sulawesi Tenggara itu harus mensubsidi biaay tongkang sekitar US$ 5 -US$ 8/mt," terang Meidy.

Kedua, dispute dari aspek surveyor. Meidy menyampaikan, sejak Oktober 2020, surveyor yang intertek atau bel um terdaftar di Kementerian ESDM dan Kemendag digantikan oleh surveyor Anindya yang dipilih oleh perusahaan smelter.

Masalahnya, saat ini surveyor Anindya belum bisa memenuhi kebutuhan pengujian analisa. Selain itu, sering terjadi perbedaan hasil analisa kabar bijih nikel antara pelabuhan muat dan pelabuhan bongkar yang merugikan supplier atau penambang.

"Kondisi yang ter jadi sering dispute perbedaan kadar antara pelabuhan muat maupun pelabuhan bongkar. Terjadi beberapa keluhan terhadap kinerja,...

Daily News Update Page 24

There have been several complaints about

performance, as well as the time of testing.

Some have not released the results for

more than one month," said Meidy.

When there is a dispute, the miner and

supplier also file a lawsuit. This is because

the provisions for the appointment of a

third party as a referee (surveyor umpire)

are as stated in ESDM Regulation No.

11/2020 has not been used when there is a

difference in levels. "Witnesses from

suppliers or miners were not involved in

the sampling process," said Meidy.

Another note, he explained, is that the

current contract is a standard contract and

there is no business to business (b to b)

negotiation. In addition, the current

contract was for nickel content above

1.9%.

The price in the contract is in accordance

with HPM but there are a number of

penalty provisions. "If it is lower than 1.7%

we will be subject to a penalty of US$ 14

per wmt," said Meidy.

If the nickel content is below the minimum

limit, it is considered reject and the cargo

cannot be returned. The contract does not

go directly to the factory, but through

traders.

Currently, there are 25 smelter companies

and 15 traders who buy nickel ore from

miners. From the miners' side, there are

293 active nickel IUPs.

Terjadi beberapa keluhan terhadap

kinerja, juga waktu pengujian. Ada yang

sudah satu bulan lebih belum keluar

hasilnya," ungkap Meidy.

Saat terjadi dispute, penambang dan

supplier pun melakukan gugatan hukum.

Sebab, ketentuan penunjukan pihak ketiga

sebagai wasit (surveyor umpire) yang

seperti yang tertuang dalam Permen ESDM

No. 11/2020 belum digunakan pada saat

terjadi selisih perbedaan kadar. "Saksi dari

pihak supplier atau penambang tidak

dilibatkan dalam proses pengambilan

sample," jelas Meidy.

Catatan lainnya, dia menjelaskan, kontrak

saat ini merupakan kontrak standar dan

tidak ada negosiasi secara business to

business (b to b). Selain itu, kontrak saat

ini terjadi untuk kadar nikel di atas 1,9%.

Harga dalam kontrak yang sesuai HPM

namun ada sejumlah ketentuan penalty.

"Apabila lebih rendah dari 1,7% kami akan

dikenakan penalty sebesar US$ 14 per

wmt," kata Meidy.

Jika kandungan nikel di bawah batas

minimum, maka dianggap reject dan kargo

tidak dapat dikembalikan. Kontrak pun

tidak langsung ke pabrik, namun melalui

trader.

Saat ini, terdapat 25 perusahaan smelter

dan 15 traders yang membeli bijih nikel

dari penambang. Dari sisi penambang,

terdapat 293 IUP nikel yang aktif.

Daily News Update Page 25

Mining Business Actors Complain about Surveyor

Performance, What's Up? Denis Riantiza Meilanova

NICKEL mining business players have

complained about the implementation of surveyors related to activities to verify the quality and quantity of nickel ore in domestic nickel buying and selling transactions.

According to the Secretary General of the Indonesian Nickel Miners Association (APNI) Meidy Katrin Lengkey, many suppliers or miners have complained about the differences in the analysis results between the port of loading and the port of loading (smelter) that are too far different. This resulted in miners experiencing losses.

"The provisions for the appointment of a third party as a referee or surveyor umpire as stipulated in the Minister of ESDM No. 11/2020 have not been used when there was a dispute over level differences. Witnesses from suppliers or miners were not involved in the sampling process," she said in a webinar, Wednesday (16/12/ 2020).

Apart from that, miners also complained about the lengthy performance of the testing time and the test results from the surveyors which could take 1 month to 2 months.

Meidy said that since October 2020 the smelter company had appointed PT Anindya Wiraputra Konsult as the surveyor.

She said that the capacity of the company's surveyors had not met or met the existing analytical testing needs.

Pelaku Usaha Pertambangan Keluhkan Kinerja Surveyor, Ada

Apa? Denis Riantiza Meilanova

PELAKU usaha tambang nikel mengeluh-

kan pelaksanaan surveyor terkait dengan kegiatan verifikasi kualitas dan kuantitas

bijih nikel dalam transaksi jual beli nikel di dalam negeri.

Menurut Sekretaris Jenderal Asosiasi Penambang Nikel Indonesia (APNI) Meidy

Katrin Lengkey, banyak pemasok atau penambang yang mengeluhkan perbedaan

hasil analisis antara pelabuhan muat dan pelabuhan bongkar (smelter) yang terlalu

berbeda jauh. Hal ini mengakibatkan penambang mengalami kerugian.

"Ketentuan penunjukan pihak ketiga sebagai wasit atau surveyor umpire yang

tertuang dalam Permen ESDM Nomor 11 Tahun 2020 belum digunakan pada saat

terjadi dispute perbedaan kadar. Saksi dari pihak supplier atau penambang tidak

dilibatkan dalam proses pengambilan sampel," ujarnya dalam sebuah webinar,

Rabu (16/12/2020).

Selain itu, penambang juga mengeluhkan

lamanya kinerja waktu pengujian dan hasil pengujian dari surveyor yang bisa

memakan waktu 1 bulan-2 bulan lebih.

Meidy menuturkan bahwa sejak Oktober 2020 perusahaan smelter telah menunjuk PT Anindya Wiraputra Konsult sebagai surveyor.

Dia menyebut bahwa kapasitas surveyor perusahaan tersebut belum memenuhi atau mencukupi kebutuhan pengujian analisis yang ada.

Daily News Update Page 26

"It has not fulfilled or fulfilled the existing analysis testing needs because all miners

want to go to one door, namely Anindya, because this Anindya is used by the

smelter," she said.

Due to this problem, several miners are currently filing a lawsuit against surveyor

Anindya.

Previously, the Chief Executive of the Team for Supervision of the Implementation of

Nickel HPM, Septian Hario Seto, said that the HPM Nickel Task Force Team had

received many reports of complaints related to transaction activities and

verification of metal minerals, especially nickel.

He also said that he would invite all surveyors to ask for an explanation and

reaffirm the rules in the Minister of ESDM Regulation No. 11/2020. Editor: Zufrizal

"Belum memenuhi atau mencukupi kebutuhan pengujian analisis yang ada karena seluruh penambang mau enggak mau ke satu pintu, yaitu Anindya karena Anindya inilah yang dipakai oleh pihak smelter," katanya.

Dengan adanya persoalan ini, beberapa penambang sedang melakukan gugatan hukum ke pihak surveyor Anindya.

Sebelumnya, Ketua Pelaksana Tim Kerja Pengawasan Pelaksanaan HPM Nikel Septian Hario Seto mengatakan bahwa Tim Satgas HPM Nikel telah menerima banyak laporan komplain terkait dengan kegiatan transaksi dan verifikasi mineral logam, khususnya nikel.

Dia pun menyebut akan mengundang seluruh surveyor untuk meminta pen-jelasan dan menegaskan kembali aturan yang ada di Peraturan Menteri ESDM Nomor 11 Tahun 2020. Editor : Zufrizal

Coal Prices Rise Due to China's Import Ban

NEWCASTLE coal prices managed to

break the highest record this year, at the level of US$ 83.5 per ton in today's trading,

Wednesday (16/12).

Launching from Trading Economics, the

upward trend in coal prices has emerged since early November. On November 2

trading, coal price was still at the level of US$ 58.86 per ton. Furthermore, coal

prices continued to rise consistently until they broke a year-round high at the level of

US$ 83.5 per ton.

Harga Batu Bara Naik Imbas Larangan Impor China

HARGA batu bara Newcastle berhasil

menembus rekor tertinggi pada tahun ini, di level US$83,5 per ton pada perdagangan

hari ini, Rabu (16/12).

Melansir dari Trading Economics, tren

kenaikan harga batu bara sudah muncul sejak awal November. Pada perdagangan 2

November, harga batu bara masih berada di level US$58,86 per ton. Selanjutnya,

harga batu bara terus konsisten naik hingga pecah rekor tertinggi sepanjang

tahun pada level US$83,5 per ton.

Daily News Update Page 27

At the opening of trading in the beginning of the tofu, the price of coal was still at US$ 69.21 per ton. Furthermore, coal prices tend to fluctuate. However, in March 2020, coal prices began to move down.

During the April-September period, coal prices only accelerated in the range of US$ 50 to around US$ 60 per ton. The lowest coal price position was at US$ 50.96 per ton on August 27.

Valbury Futures Asia analyst Lukman Leong said the increase in coal prices was triggered by a ban on imports of coking coal from Australia.

It is known that the two trading partner countries are currently at odds over the imposition of a series of tax rates and restrictions by China on the export of Australian agricultural products. This war started with a political issue where Australia banned the 5G network of Chinese technology giant Huawei due to national security concerns, sparking anger in China.

Lukman explained that the ban on coking coal imports actually raised demand for thermal coal from China.

"There is a factor of the impact of China with the import ban on coking coal, which causes a lot of demand for thermal coal," he explained to CNNIndonesia.com.

In addition, the initiation of the covid-19 vaccine program in a number of countries gave hope of economic recovery. Economic recovery is expected to be able to boost demand for coal in the global market.

"Coal prices are predicted to continue to strengthen, because this sentiment will continue until at least the first quarter of 2021, from there we see the possibility of price correction," he said. (ulf/sfr)

Pada pembukaan perdagangan awal tahu, harga batu bara masih berada di posisi US$69,21 per ton. Selanjutnya, harga batu bara cenderung bergerak fluktuati f. Namun, pada Maret 2020, harga batu bara mulai bergerak turun.

Sepanjang periode April-September, harga batu bara hanya melaju di rentang US$50-an hingga US$60-an per ton. Posisi paling rendah harga batu bara berada di level US$50,96 per ton pada 27 Agustus.

Analis Asia Valbury Futures Lukman Leong mengatakan kenaikan harga batu bara ini dipicu oleh larangan impor batu bara kokas atau coking coal dari Australia.

Diketahui, dua negara mitra dagang itu tengah bersitegang karena pengenaan serangkaian tarif pajak dan pembatasan oleh China atas ekspor produk pertanian Australia. Perang ini dimulai isu politik dimana Australia melarang jaringan 5G raksasa teknologi China, Huawei karena masalah keamanan nasional, sehingga menyulut kemarahan di China.

Lukman menjelaskan larangan impor batu bara kokas itu justru mengerek per-mintaan batu bara thermal dari China.

"Ada faktor dampak China dengan larangan impor coking coal itu menyebabkan banyak demand pada batu bara thermal ," jelasnya kepada CNNIndonesia.com.

Selain itu, mulainya program vaksin covid-19 di sejumlah negara memberik an harapan pemulihan ekonomi. Pemulihan ekonomi, diharapkan bisa mendorong kembali permintaan batu bara di pasar global.

"Harga batu bara diprediksi masih bisa menguat, karena sentimen ini masih akan berlanjut sampai minimal kuartal I 2021, dari sana kami melihat kemungkinan harga ada koreksi," tuturnya. (ulf/sfr)

Daily News Update Page 28

Freeport CEO sees banner years ahead after gains won in ‘battle’ Bloomberg News

WITH a tumultuous decade almost behind him and the prospect of banner years ahead, the

longtime boss of global miner Freeport-McMoRan Inc. has little interest in retiring just as cash looks set to roll in.

“Our Freeport family, our Freeport team, has gone to battle together,” Chief Executive Officer Richard Adkerson, 73, said Tuesday in a phone interview. “We’re within real close line of sight to having the kind of great success that we worked so long for.”

Such success will be underpinned by a production boost after a disruptive year at the company’s mines. Adkerson expects copper volumes to expand by 20% and gold by 70% next year, with rising outputs lowering costs. With copper near seven-year highs and gold hovering about 10% below its peak, he sees profit margins swelling. At those prices, the producer says it’s on track to double earnings before interest, taxes, depreciation and amortization next year.

Adkerson, who has been at Freeport since 1989 and CEO since 2003, has helped guide the world’s biggest publicly traded copper company through what he calls a series of “twists and turns.”

Those include the mid-decade collapse of the commodity boom — which forced it to sell assets and shares to manage its debt — years of tortured negotiations to secure long-term mining rights for its flagship Grasberg operation in Indonesia, and a multibillion-dollar revamp of that giant mine.

Then Covid-19 hit, forcing the Phoenix-based company to revise its operating plans, cut its dividend and some executive pay, and delay capital spending. Despite disruptions, Freeport pushed ahead with its ramp up of Grasberg, a copper and gold mine that has been transitioning from open pit to underground operations.

“By the end of 2021 we will be back at full production,” Adkerson said, returning the mine to its position as one of the world’s single biggest sources of copper and gold.

Freeport also brought its Lone Star project in Arizona online this year. It is slowly returning its Covid-hit Cerro Verde mine in Peru back to normal operations and plans to restart its Chino mine in New Mexico next year at half capacity.

Investors have noticed the company’s efforts, with Freeport’s stock four times higher than its March low.

Rising cash flow has been pushing down net-debt levels, which were about $8 billion at the end of the third quarter, Chief Financial Officer Kathleen Quirk said on the same call. As that continues, Freeport will “significantly” increase cash returns to shareholders “over time”, Adkerson said. He expects the board will start a discussion on reinstating dividends “very early in 2021.”

Daily News Update Page 29

The next use for cash would be to boost production, Adkerson said, and the first choice would be projects at existing operations.

“We don’t have to make acquisitions to sustain our production profile,” he said.

Copper smelter

One unfinished piece of business is in Indonesia. Freeport pledged to help build a copper smelter in the country as part of 2018 agreements that gave a majority stake of its Indonesian operations to state-owned PT Indonesia Asahan Aluminium. In August, local unit PT Freeport Indonesia sought government approval to push back the target for finishing the $3 billion project in East Java by a year, to 2024, after the pandemic disrupted construction.

Adkerson said Freeport remains committed to the project, while PT-FI also is part of talks on an alternative plant with a Chinese company and the government.

“My sense is that this will get sorted out sooner than later,” he said. “It’s under discussion.”

The CEO and vice chairman said he intends to stick around to see the agreements fulfilled. In any case, he said, Freeport has a succession plan in place around a strong executive team. On the cusp of his 74th birthday, he adds his health and energy levels are good, noting: “I’m younger than Joe Biden.” (By Steven Frank)

Whitehaven bolsters Winchester South ambitions Vanessa Zhou

WHITEHAVEN Coal is anticipating a 50 per cent boost in production and processing capacity from the $980 million Winchester South coal project in Queensland.

After updating a pre-feasibility study (PFS) for the project, Whitehaven is now targeting 15 million tonnes a year of run-of-mine coal over a mine life of more than 20 years.

This includes the production of pulverised coal injection (PCI) and semi-hard coking coal (SHCC), which are used in the manufacture of steel, in addition to thermal coal exports.

Whitehaven also declared maiden coal reserves of 350 million tonnes, and more than doubled its JORC resources from 530 million tonnes to 1.1 billion tonnes.

The company has drilled more than 200 new holes since acquiring the Winchester South project from Rio Tinto in 2018.

Whitehaven managing director Paul Flynn said the declaration of resources and reserves for Winchester South, in accordance with the JORC code, was an important milestone for the project.

It has provided further confidence around resource definition and various options to ensure the company maximises returns, he said.

Whitehaven will continue to progress the Winchester South project through the Queensland Government’s approval process.

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Winchester South is surrounded by active coal mining and exploration areas, including BHP Mitsubishi Alliance (BMA)’s Peak Downs and Daunia mines, South 32’s Eagle Downs mine and Pembroke Resources’ Olive Downs South project.

It will be one of the projects that underpins Whitehaven’s growth, alongside the Vickery coal project in New South Wales.

Oyu Tolgoi underground production to start in 2022 By: Esmarie Iannucci, Creamer Media Senior Deputy Editor: Australasia

DIVERSIFIED major Rio Tinto on Wednesday unveiled that underground production from the Oyu Tolgoi copper/gold mine, in Mongolia, is expected to start in October 2022.

Development cost for the underground operation has been set at $6.75-billion, the company said.

“We now have a pathway to bring the underground project into production, which will unlock the most valuable part of Oyu Tolgoi. We will continue to work together with the government of Mongolia and Turquoise Hill Resources to progress the project, including finalising all necessary approvals and agreeing a solution on power and funding,” said Rio’s copper and diamond CEO Arnaud Soirat.

Oyu Tolgoi is expected to produce 480 000 t/y of copper on average from 2028 to 2036 from the openpit and underground, compared with 146 300 t/y in 2019 from the openpit.

The underground ore reserve has an average copper grade of 1.52%, which is more than three times higher than the openpit ore reserve, and contains 0.31 g/t of gold. The size and quality of this Tier 1 asset provides additional expansion options, which could see production sustained for many decades.

At peak production, Oyu Tolgoi is expected to operate in the first quartile of the copper cash cost curve and by 2030 is expected to be the fourth largest copper mine in the world.

Rio and its partners will continue to finalise three other milestones; the outstanding government approvals, funding and a power solution, in order to ensure that the project can commence caving operations in 2021.

Freeport-McMoRan completes sale of Kisanfu project for US$550 million Published by Jessica Casey, Editorial Assistant

FREEPORT-McMoRan Inc. (FCX) has announced that it has completed a sale of its interests in the Kisanfu undeveloped project to a wholly owned subsidiary of China Molybdenum Co. Ltd (CMOC) for $550 million. After-tax net cash proceeds approximate US$415 million.

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The Kisanfu project, located in the Democratic Republic of Congo, is a large, undeveloped cobalt and copper resource discovered by Freeport’s exploration team. Following Freeport’s sale of its interest in the adjacent Tenke Fungurume mine in 2016, the Kisanfu project was no longer strategic to Freeport’s long-term strategy.

Richard C. Adkerson, President and CEO, said: “We are pleased to announce this transaction, which enhances our financial position. We continue to execute our strategy focused on our attractive portfolio of large and high-quality copper assets with strong and established franchises in North America, South America and Indonesia.”

As of 31 December 2019, FCX did not have any proven and probable reserves associated with the Kisanfu project.

FCX expects to record an after-tax gain of approximately US$350 million in 4Q20 associated with this sale.

Strengthening Australia thermal coal prices to have limited upside for

semisoft: sources Author: Yi-Le Weng, Jessie Li, Jenny Ma; Editor: Manish Parashar

THE RECENT recovery in thermal coal prices appeared to have a limited impact on semisoft

coal amid a weak price environment in the metallurgical coal market, participants said.

Australian thermal coal prices have been on an uptrend, led by a demand recovery in the Northern Hemisphere as end-users restock for winter.

Japanese power utilities made plans to use thermal coal as their main energy source from January to February 2021 on anticipation that LNG prices would surge. Similarly, restocking needs for the winter season merged from Taiwan for the high calorific value thermal coal.

A February-loading Panamax shipment of 6,000 kcal/kg NAR Australian coal was concluded at $83/mt FOB Dec. 16, up $20/mt on the month, S&P Global Platts data showed.

This would translate to about $102/mt FOB Australia, converting 6,000 kcal/kg NAR to typical semisoft CV specifications of 6,300 kcal/kg NAR. The calculation assumes a $4.50/mt conversion cost and a 90% yield rate of semisoft from thermal coal.

Weak met coal prices

Market participants said there was limited upside for semisoft prices as premium hard coking coal prices continue to hover about $100/mt FOB Australia, a four-year low since July 2016. This has kept buyers on the sidelines as weaker grades of coal lost their price competitiveness against premium hard coking coal material.

"Demand for semisoft usually weakens when prices of premium coking coal are low, and vice versa. Semisoft coals were used for cost reduction purposes, if the relativities of semisoft

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rallied beyond 80%, end-users would reduce semisoft blending ratio to minimum level and increase usage of PLV," an end-user in north Asia said.

Relativities of spot semisoft coking coal prices against Platts PLV FOB Australia hit a four-year high of 77.6% on Dec. 16. However, Australian producers with coal washing facilities still have little incentives to sell semisoft as they could fetch higher prices by selling as thermal coal.

At the same time, demand for semisoft in the spot market was weak as China has turned away from Australian coals temporarily, and much of the semisoft volumes are locked in contractual terms.

Economically, it made sense for Australian coal miners to sell thermal coal instead of semisoft. However, major semisoft producers may have preexisting contracts with wash plants, a northeast Asia-based trader said.

"They might have limited options but to transform thermal coal to semisoft in accordance to the contracts," he added.

Market participants also talked about the differences in demand for these two types of coals, with firm spot demand driving up spot thermal coal prices, while semisoft spot demand was limited.

Thermal coal market

Australian thermal coal prices for 6,000 kcal/kg NAR grade gained momentum on the recovery in demand and tight supply from other suppliers like Russia and Indonesia in the near term. Thus, it made sense for Australian miners to sell thermal coal instead of semisoft, sources said.

Prices for the lower grade of thermal coal with 5,500 kcal/kg NAR also tracked higher, as end-users in Japan capitalize on the wide price arbitrage between 5,500 kcal/kg NAR and 6,000 kcal/kg NAR grades -- estimated to be about $25/mt FOB Australia Dec. 16 -- to fulfill their near-term needs. Demand for the former coal grade also saw buyers from India, and the 5,500 kcal/kg NAR grade is now competitively priced against a similar grade of coal from South Africa, an Australia-based miner said.

Meanwhile, prices of 6,000 kcal/kg NAR Russian coal and Indonesian coal across all grades also increased as spot availabilities decline ahead of severe weather conditions, including icings in Russia during January and a wet season in Indonesia at present, while China eased entry of non-Australian coal Dec. 12, according to sources.

Russia may benefit from trade rift between China and Australia

RUSSIAN coal suppliers could boost their exports to China, as the world’s largest coal buyer is reportedly curbing shipments of the commodity from Australia amid escalating tensions between the two countries.

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The developer of the largest Russian coal deposit, Elga, announced on Tuesday that it created a joint venture with a Chinese shipping company to promote Russian coal on the massive Chinese market. The project between Elgaugol and GH-Shipping is set to satisfy China’s growing demand for high-quality coking coal.

The deal is set to help boost Russian coal supplies to China from one million tons this year to 30 million tons in 2023, and the developer could potentially further increase annual imports to 50 million tons. The joint venture is also expected to contribute to the ambitious goal of the Russian and Chinese governments to significantly increase bilateral trade turnover, as it would increase the volume of trade between the two countries by $5 billion per year.

“The supplies of coking coal from Elga will replace a significant amount of Australian and American coal of similar quality,” Elgaugol Director-General Aleksandr Isaev said.

Another Russian producer, Mechel, previously said that it was planning to increase exports of coal to China amid Beijing’s restrictions on Australian imports. In November, the shipments rose by 13 percent, and are set to jump by 25-30 percent in December, Mechel CEO Oleg Korzhov said as cited by Russian media.

Tensions between the two countries have been growing for around three years, after the Australian government began limiting Chinese investments in the country. In 2018, Canberra added fuel to the fire when it banned China’s Huawei and ZTE from its 5G rollout. The most recent escalation occurred when Australia pushed in April for an international inquiry into the origins of the coronavirus outbreak.

Earlier this week, Chinese state-linked media reported that the nation’s top economic planner gave domestic power plants the greenlight to import coal without clearance restrictions from several countries “except for Australia.” While Beijing has not officially confirmed the restrictions, Canberra has already urged the Chinese government to clarify the reports.

This week’s reports are not the first to allege that China is quietly banning coal imports from Australia. Last month, several million tons of Australian coal worth more than $500 million were reportedly stuck in Chinese ports.