Daily News Update Page 1

TABLE OF CONTENTS

No. Title Media Source Page

1.

2.

3.

4.

5.

6.

7.

8.

9.

Government Explores Coal Trade Cooperation to Several Asian Countries Pemerintah jajaki kerjasama perdagangan batubara ke sejumlah negara Asia Merdeka Copper Gold (MDKA) sold 50,183 ounces of gold in the third quarter of 2020 Merdeka Copper Gold (MDKA) Jual Emas 50.183 ons pada Kuartal III/2020 Consistency in United Tractors Performance Improvement Konsistensi Perbaikan Kinerja United Tractors Darma Henwa (DEWA)'s profit depressed 24.9% despite the slight increase in revenue Laba Darma Henwa (DEWA) tertekan 24,9% kendati pendapatan naik tipis Martabe Mine Provides Infrastructure Assistance to SMKN 2 Batangtoru Tambang Martabe Beri Bantuan Infrastruktur pada SMKN 2 Batangtoru PT Smelting boosts copper cathode production to 279,000 tons in 2020 PT Smelting dongkrak produksi katoda tembaga jadi 279.000 ton di 2020 Hindered by Pandemic, OB Darma Henwa (DEWA) Volume Keeps Up in October 2020 Terhalang Pandemi, Volume OB Darma Henwa (DEWA) Tetap Naik pada Oktober 2020 Collaborating with CNI, WIKA Accelerates the Development of the Ferronickel Smelter National Strategic Project Gandeng CNI, WIKA Percepat Pembangunan Proyek Strategis Nasional Smelter Ferronickel Ouch! Gold Keeps Dropping, Copper Even Strengthens Aduh! Emas Ambles Terus Nih, Tembaga Justru Malah Menguat

Kontan Bisnis Investor Daily Kontan IDN Times Kontan Bisnis Liputan6 CNBC Indonesia

3

5

8

11

12

15

18

20

23

Daily News Update Page 2

10.

11.

12.

13.

14.

15.

16.

17.

18.

Solar power plants development in ex-mining land could be a reclamation option Pengembangan PLTS di Lahan Bekas Tambang Bisa Jadi Opsi Reklamasi During November Coal Rises 17%, Will It Go Up Again? Selama November Batu Bara Naik 17%, Bakal Naik Lagi? China solves Freeport’s $3 billion problem in Indonesia China's $2b coal deal with Indonesia may hit Australia Newcrest grows Paterson Province presence Copper hits seven-year high as demand hopes build Brazilian miners to tighten up tailings self-regulations Australian gold output declines Highest-grade underground gold mines in Q1 2020

Bisnis CNBC Indonesia Asia Times The Straits Times Australian Mining Mining Weekly Mining.com Australian Mining Kitco News

25

26

29

32

32

33

34

35

36

Daily News Update Page 3

Government Explores Coal Trade Cooperation to Several Asian

Countries Reporter: Ridwan Nanda Mulyana | Editor:

Noverius Laoli

THROUGH an agreement between the

Indonesian Coal Mining Association (APBI) and China Coal Transportation and Distribution (CCTDA), China agreed to increase coal imports from Indonesia. Next year, the volume of Indonesia's coal trade to China will increase to 200 million tons.

This cooperation originated from the results of the Indonesian government's working visit to China in the context of celebrating 70 years of diplomatic relations between the two countries.

EMR Ministry's Director of Coal Develop-ment and Business, Sujatmiko, revealed that not only with China, the government is also targeting an increase in the volume of coal trade and investment from other Asian countries. Including from countries that have been the main market for Indonesian coal exports, namely India.

"Apart from China, the Indonesian government continues to improve cooperation related to investment and coal trade with several partner countries including India, the Republic of Korea, Japan, Bangladesh, Pakistan and ASEAN countries," said Sujatmiko when contacted by Kontan.co.id., Friday (27/11).

As an illustration, so far Asian countries have supported the export market for coal from Indonesia. In Kontan.co.id's records, in 2019 Indonesia's coal exports were recorded at 454.5 million tons.

Pemerintah jajaki kerjasama perdagangan batubara ke

sejumlah negara Asia Reporter: Ridwan Nanda Mulyana | Editor:

Noverius Laoli

MELALUI kesepakatan antara Asosiasi

Pertambangan Batubara Indonesia (APBI) dan China Coal Transportation and Distribution (CCTDA), China menyepakati peningkatan impor batubara dari Indonesia. Pada tahun depan, volume perdagangan batubara Indonesia ke China meningkat menjadi 200 juta ton.

Kerjasama ini berawal dari hasil kunjungan kerja pemerintah Indonesia ke China dalam rangka perayaan 70 tahun hubungan diplomatik kedua negara tersebut.

Direktur Pembinaan dan Pengusahaan Batubara Kementerian ESDM Sujatmiko mengungkapkan, tak hanya dengan China, pemerintah juga membidik peningkatan volume perdagangan dan investasi batubara dari negara Asia lainnya. Termasuk dari negara-negara yang selama ini menjadi pasar utama ekspor batubara Indonesia, yakni India.

"Di samping dengan Tiongkok, Pemerintah Indonesia secara berkesinambungan terus meningkatkan kerjasama terkait investasi dan perdagangan batubara dengan beberapa negara mitra di antaranya India, Republik Korea, Jepang, Bangladesh, Pakistan dan negara-negara ASEAN," kata Sujatmiko saat dihubungi Kontan.co.id, Jum'at (27/11).

Sebagai gambaran, selama ini negara-negara Asia menopang pasar ekspor batubara asal Indonesia. Dalam catatan Kontan.co.id, pada tahun 2019 lalu ekspor batubara Indonesia tercatat sebesar 454,5 juta ton.

Daily News Update Page 4

Of that amount, China dominates with 33%, followed by India with 27%. Meanwhile, exports to South Korea were 7%, Japan 6%, and Taiwan were 5% of Indonesia's total coal exports in 2019.

Sujatmiko is optimistic, even though the market (demand) for coal has dropped due to the impact of the Covid-19 pandemic, Indonesia's coal exports will be maintained until the end of the year. In fact, in 2021 the coal export market is projected to improve.

"Indonesian coal exports until the end of 2020 and 2021 are expected to begin to recover and improve, in line with the economic recovery in Indonesian coal importing countries," continued Sujatmiko.

Referring to data from the Ministry of EMR, until October, the realization of Indonesian coal production reached 459 million tons. This figure is equivalent to 83% of this year's national coal production target of 550 million tons.

Of this amount, 327 million tonnes of coal were exported with a value of US$ 13.38 billion. Meanwhile, coal used for domestic purposes (DMO) is 109 million tons or only 70% of the DMO target this year is set at 155 million tons.

Quoting the official statement of the Ministry of EMR, the commitment of Chinese importers who approved the purchase of Indonesian coal was US$ 1.46 billion or the equivalent of Rp.20.6 trillion. The collaboration between APBI and CCTDA was held last Wednesday (25/11).

APBI Executive Director Hendra Sinadia said the agreement to sell Indonesian coal to China would increase trade volume. "This is part of an agreement to increase cooperation between the two countries to achieve a trade volume of 200 million tons by 2021," said Hendra.

Dari jumlah itu, China mendominasi dengan 33%, disusul India dengan 27%. Sementara ekspor ke Korea Selatan sebanyak 7%, Jepang 6%, dan Taiwan sebanyak 5% dari total ekspor batubara Indonesia di tahun 2019.

Sujatmiko optimistis, meski pasar (demand) batubara sempat anjlok akibat terdampak pandemi covid-19, namun ekspor batubara Indonesia akan terjaga hingga penghujung tahun nanti. Bahkan, pada 2021 pasar ekspor batubara diproyeksi akan membaik.

"Ekspor batubara Indonesia sampai dengan akhir 2020 dan 2021 mendatang diperkirakan mulai pulih dan membaik, seiring dengan pemulihan ekonomi di negara-negara pengimpor batubara Indonesia," sambung Sujatmiko.

Merujuk data Kementerian ESDM, hingga Oktober, realisasi produksi batubara Indonesia mencapai 459 juta ton. Angka itu setara dengan 83% dari target produksi batubara nasional tahun ini yang sebesar 550 juta ton.

Dari jumlah tersebut, sebanyak 327 juta ton batubara diekspor dengan nilai sebesar US$ 13,38 miliar. Sedangkan batubara yang dipakai untuk kepentingan di dalam negeri (DMO) sebesar 109 juta ton atau baru 70% dari target DMO tahun ini yang dipatok sebesar 155 juta ton.

Mengutip keterangan resmi Kementerian ESDM, Komitmen para importir Tiongkok yang menyetujui pembelian batubara Indonesia ialah sebesar US$ 1,46 Miliar atau setara Rp 20,6 triliun. Kerjasama antara APBI dan CCTDA itu digelar pada Rabu (25/11) lalu.

Direktur Eksekutif APBI Hendra Sinadia menyampaikan, kesepakatan penjualan batu-bara Indonesia ke China akan meningkatkan volume perdagangan. "Ini merupakan bagian dari kesepakatan untuk meningkatkan kerja-sama antara kedua negara untuk mencapai volume perdagangan 200 juta ton di tahun 2021" kata Hendra.

Daily News Update Page 5

In addition to agreeing on a long-term export policy, continued Hendra, this cooperation also facilitates coal producers in Indonesia with buyers in China and increases bilateral trade between the two countries.

The signing of the collaboration between APBI and CCTDA was also attended by APBI members who are coal exporters to China, namely Adaro, Bukit Asam, Kideco, Indo Tambangraya Megah, Multi Harapan Utama, Berau and Toba Bara. Also attending were representatives from the Chinese Embassy and CNCA (China National Coal Association).

APBI Chairman Pandu Sjahrir appreciated the support from the government in encouraging trade and investment cooperation in the coal industry sector, which is an industry that contributes significantly to state revenues, as well as energy security.

"With this cooperation, national coal producers are optimistic about looking to 2021 even though the global coal market is not expected to fully recover as in 2018-2019," said Pandu.

Selain menyepakati kebijakan ekspor jangka panjang, sambung Hendra, kerja sama ini juga memfasilitasi para produsen batubara di Indonesia dengan pihak pem-beli di RRT dan meningkatkan perda-gangan bilateral kedua negara.

Penandatanganan kerjasama antara APBI dengan CCTDA juga dihadiri oleh anggota APBI yang menjadi eksportir batubara ke RRT yaitu Adaro, Bukit Asam, Kideco, Indo Tambangraya Megah, Multi Harapan Utama, Berau dan Toba Bara. Turut hadir pula perwakilan dari Kedutaan RRT, serta CNCA (China National Coal Association).

Ketua Umum APBI Pandu Sjahrir meng-apresiasi dukungan dari pemerintah dalam mendorong kerjasama perdagangan dan investasi di sektor industri batubara yang merupakan industri yang berkontribusi signifikan bagi penerimaan negara, juga bagi ketahanan energi.

"Dengan kerjasama ini, produsen batubara nasional optimis menatap tahun 2021 meskipun pasar batubara global diper-kirakan belum akan pulih sepenuhnya seperti di tahun 2018 -2019," ungkap Pandu.

Merdeka Copper Gold (MDKA) sold 50,183 ounces of gold in

the third quarter of 2020 Finna U. Ulfah

MINERAL mining issuer, PT Merdeka

Copper Gold Tbk., Recorded gold sales from the Tujuh Bukit mine of 50,183 ounces in the third quarter of 2020, with an average selling price of US$ 1,910 per troy ounce.

Merdeka Copper Gold (MDKA) Jual Emas 50.183 ons pada

Kuartal III/2020 Finna U. Ulfah

EMITEN pertambangan mineral , PT

Merdeka Copper Gold Tbk., mencatatkan penjualan emas dari tambang Tujuh Bukit sebesar 50.183 ons pada kuartal III/2020, dengan rata-rata harga jual US$1.910 per troy ounce.

Daily News Update Page 6

Quoting the company's quarterly report on its official website, Sunday (29/11/2020),

the issuer coded as MDKA shares also sold 221,518 ounces of silver from the Tujuh

Bukit mine with an average selling price of US$ 24 per ounce. The company estimates

revenue from the gold and silver segment at US$ 101 million in the third quarter of

2020.

Furthermore, during July-September 2020, MDKA hedged 19,956 oz of gold at a deal

price of US$ 1,448 per ounce.

Meanwhile, gold prices closed at US$ 1,917 per ounce in the third quarter of 2020. This

makes the company estimate a net loss in hedging for the third quarter of 2020 of

US$ 9.4 million.

As for the Wetar mine, MDKA has sold 916

tons of copper at an average price of US$ 6,339 per ton. Thus, the estimated revenue

from the copper segment is US$ 5.8 million in the third quarter of 2020.

Thus, overall MDKA estimates revenue in

the third quarter of 2020 to be US$ 106.8 million.

Meanwhile, until now, the company has not

reported the financial statements for the third quarter of 2020. Merdeka Copper

Gold management said that the company's consolidated financial statements for the

period of September 30, 2020 are in the process of being audited by a public

accounting firm.

In accordance with the Exchange

regulations regarding the obligation to submit information, the period for sending

financial statements audited by a public accountant can be made no later than 3

months after the date of the interim financial statements.

Mengutip laporan kuartalan perseroan di laman resminya, Minggu (29/11/2020),

emiten berkode saham MDKA itu juga menjual 221.518 ons perak dari tambang

Tujuh Bukit dengan rata-rata harga jual US$24 per ons. Perseroan mengestimasi

pendapatan dari segmen emas dan perak sebesar US$101 juta pada kuartal III/2020.

Selanjutnya, sepanjang Juli-September

2020, MDKA melakukan aksi lindung nilai untuk emas sebanyak 19.956 oz dengan

harga kesepakatan US$1.448 per ons.

Sementara itu, harga emas ditutup di posisi

US$1.917 per ons pada kuartal III/2020. Hal ini membuat perseroan mengestimasi

adanya kerugian bersih pada lindung nilai untuk kuartal III/2020 sebesar US$9,4 juta.

Adapun dari tambang Wetar, MDKA telah menjual tembaga sebanyak 916 ton dengan

harga rata-rata US$6.339 per ton. Sehingga, estimasi pendapatan dari

segmen tembaga sebesar US$5,8 juta pada kuartal III/2020.

Dengan demikian, secara keseluruhan

MDKA mengestimasi pendapatan pada kuartal III/2020 sebesar US$106,8 juta.

Sementara itu, hingga saat ini, perseroan belum melaporkan laporan keuangan

untuk kuartal III/2020. Manajemen Merdeka Copper Gold menyampaikan

bahwa laporan keuangan konsolidasi perseroan periode 30 September 2020

sedang dalam proses audit oleh kantor akuntan publik.

Sesuai dengan peraturan Bursa tentang kewajiban penyampaian informasi, periode

pengiriman laporan keuangan yang diaudit oleh akuntan publik dapat dilakukan

selambatnya-lambatnya 3 bulan setelah tanggal laporan keuangan interim di-

maksud.

Daily News Update Page 7

"In this regard, we convey that we will send the consolidated financial statements

for the 30 September 2020 period to the Exchange at the latest in accordance with

the applicable regulations," wrote Merdeka Copper Gold Corporate Secretary Adi

Adriansyah Sjoekri as quoted from the disclosure of information, Sunday (29/11).

On the other hand, in the third quarter of

2020, MDKA produced 42,997 ounces of gold from the Tujuh Bukit mine with an all-

in sustaining cost (AISC) of US$ 561 per ounce and production costs of US$ 315 per

ounce.

During the first 9 months of this year, the company produced 151,820 ounces of gold with an AISC of US$ 626 per ounce and a production cost of US$ 395 per ounce.

Meanwhile, an unexpected incident occurred at one of the projects at the Tujuh Bukit mine on Saturday (12/9), namely the discovery of cracks in the heap leach pad.

As a result of this, MDKA also expects total gold production throughout 2020 to change to a range of 154,000-160,000 ounces of gold in line with the disruption of production from the mine.

In fact, based on Bisnis records, previously MDKA planned to increase production guidelines to 175,000-195,000 ounces this year, from the previous guide of 165,000-185,000 ounces.

“Insurance claims for material damage and business interruption have been filed with the company's insurance company. Discussions are ongoing to confirm receipt of claims and the company hopes to reach conclusions on this matter in the fourth quarter of 2020," Merdeka Copper Gold management wrote in its quarterly report, Sunday (29/11).

“Sehubungan dengan hal itu, kami sampai-kan bahwa laporan keuangan konsolidasian periode 30 September 2020 akan kami kirimkan kepada Bursa selambat-lambatnya sesuai dengan peraturan yang berlaku,” tulis Sekretaris Perusahaan Merdeka Copper Gold Adi Adriansyah Sjoekri seperti dikutip dari keterbukaan informasinya, Minggu (29/11).

Di sisi lain, pada kuartal III/2020, MDKA telah memproduksi emas dari tambang Tujuh Bukit sebanyak 42.997 ons dengan dengan biaya pendukung atau all-in sustaining cost (AISC) sebesar US$561 per ons dan biaya produksi sebesar US$315 per ons.

Sepanjang 9 bulan pertama tahun ini, perseroan telah memproduksi emas sebanyak 151.820 ons dengan AISC sebesar US$626 per ons dan biaya produksi sebesar US$395 per ons.

Adapun, telah terjadi peristiwa tidak terduga pada salah satu proyek di tambang Tujuh Bukit pada Sabtu (12/9), yaitu di-temukannya keretakan pada heap leach pad.

Akibat hal itu, MDKA pun mengekspek-tasikan total produksi emas sepanjang 2020 berubah menjadi di kisaran 154.000-160.000 ons emas seiring dengan terganggu-nya produksi dari tambang itu.

Padahal berdasarkan catatan Bisnis , sebelumnya MDKA berencana menaikkan panduan produksi menjadi sebesar 175.000-195.000 ounces pada tahun ini, dari panduan sebelumnya sebesar 165.000-185.000 ounces.

“Klaim asuransi untuk kerusakan material dan gangguan bisnis telah diajukan ke perusahaan asuransi perusahaan. Diskusi sedang berlangsung untuk mengonfirmasi penerimaan klaim dan perusahaan berharap dapat mencapai kesimpulan tentang hal ini pada kuartal IV/2020,” tulis manajemen Merdeka Copper Gold dikutip dari laporan kuartalannya, Minggu (29/11).

Daily News Update Page 8

From the Wetar mine, the company has produced 1,434 tons of copper with AISC

of US$ 4.14 per pound in the third quarter of 2020. Thus, during January-September

2020, MDKA has produced 4,360 tons with AISC of US$ 4.27 per pound.

Merdeka Copper Gold management

explained that the company is conducting a strategic review of the Wetar mine for

integration with the AIM project that is currently being carried out by the

company. This has resulted in delays in copper production as mining has shifted

from the Lerokis mine to the new Partolang mine.

"As part of the group's strategy to increase

copper production, the development of the Partolang open pit mine will continue with

operations that began in October 2020, and lead to increased copper production by

2021," wrote the management of Merdeka Copper Gold. Editor: Annisa Margrit

Dari tambang Wetar, perseroan telah mem-produksi tembaga sebanyak 1.434 ton dengan AISC US$4,14 per pon pada kuartal III/2020. Dengan demikian, sepanjang Januari-September 2020, MDKA telah mem-produksi 4.360 ton dengan AISC sebesar US$4,27 per pon.

Manajemen Merdeka Copper Gold menjelas-kan perseroan tengah melakukan tinjauan strategis tambang Wetar untuk integrasi dengan proyek AIM yang tengah dilakukan perseroan. Hal inilah yang mengakibatkan tertundanya produksi tembaga karena penambangan telah bergeser dari tambang Lerokis ke tambang Partolang yang baru.

“Sebagai bagian dari strategi grup untuk meningkatkan produksi tembaga, pengem-bangan tambang terbuka Partolang terus dilanjutkan dengan operasi yang telah dimulai pada Oktober 2020, dan mengarah pada peningkatan produksi tembaga pada 2021,” tulis manajemen Merdeka Copper Gold. Editor : Annisa Margrit

Consistency in United Tractors Performance Improvement

Parluhutan Situmorang

THE OPERATIONAL and financial

performance of PT United Tractors Tbk

(UNTR) shows consistent improvement until October 2020. This is a signal that the

growth trend will continue in 2021.

BRI Danareksa Sekuritas analyst Stefanus Darmagiri revealed that sales of Komatsu

heavy equipment by United Tractors in October 2020 reached 154 units, up 4.1%

compared to September 2020. However, it still fell 7.2% compared to October 2019.

Konsistensi Perbaikan Kinerja United Tractors

Parluhutan Situmorang

KINERJA operasional dan keuangan PT

United Tractors Tbk (UNTR) menunjukkan perbaikan yang konsisten hingga Oktober 2020. Ini merupakan sinyal bahwa tren pertumbuhan akan berlanjut pada 2021.

Analis BRI Danareksa Sekuritas Stefanus Darmagiri mengungkapkan, penjualan alat berat Komatsu oleh United Tractors pada Oktober 2020 mencapai 154 unit atau naik 4,1% dibandingkan September 2020. Namun, masih turun 7,2% dibandingkan Oktober 2019.

Daily News Update Page 9

The company also recorded an increase in coal production volume by 1.1% to 9.5 million tons in October 2020. Meanwhile, coal sales volume increased 21.5% from the previous month. However, gold sales volume tends to be stagnant.

With this achievement, United Tractors managed to sell 1,345 heavy equipment during January-October 2020, down 50.8% compared to the same period last year.

Likewise, the volume of coal production fell 12.7% to 94.8 million tons, with the stripping ratio (SR) falling to 7.4% from 7.7%. However, next year, the company's operational performance, such as sales of heavy equipment, coal mining contracting business and gold production, is expected to increase.

Likewise with the company's projected financial performance next year. This will be supported by the selling price of coal which is believed to be tending to increase in line with the improving global economy. Stefanus estimates that United Tractors will grow Komatsu heavy equipment sales by 20 percent to 18 thousand units in 2021.

Meanwhile, gold sales volume is expected to increase to 350 thousand oz in 2021 compared to this year's estimate of 320 thousand oz.

These various factors prompted BRI Danareksa Sekuritas to maintain its recommendation to buy UNTR shares with a target price of Rp 29,000.

The target price takes into account the company's better financial performance next year, in line with expectations of an increase in coal selling price and an increase in gold sales volume.

In addition, the operation of the Tanjung Jati power plant at the end of 2021 is also expected to provide positive sentiment for the company. This year,...

Perseroan juga mencetak peningkatan volume produksi batu bara sebesar 1,1% menjadi 9,5 juta ton pada Oktober 2020. Sedangkan volume penjualan batu bara naik 21,5% dari bulan sebelumnya. Namun, volume penjualan emas cenderung stagnan.

Dengan pencapaian itu, United Tractors berhasil menjual sebanyak 1.345 alat berat sepanjang Januari- Oktober 2020 atau turun 50,8% dibandingkan periode samatahun lalu.

Begitu juga dengan volume produksi batu bara turun 12,7% menjadi 94,8 juta ton, dengan stripping ratio (SR) turun menjadi 7,4% dari 7,7%. Meski demikian, tahun depan, kinerja operasional perseroan seperti penjualan alat berat, bisnis kontraktor penambangan batu bara, dan produksi emas, diperkirakan meningkat.

Begitu juga dengan proyeksi kinerja keuangan perseroan tahun depan. Hal itu bakal didukung oleh harga jual batu bara yang diyakini cenderung naik, seiring mem-baiknya ekonomi global. Stefanus memper-kirakan pertumbuhan penjualan alat berat Komatsu oleh United Tractors sebesar 20% menjadi 18 ribu unit pada 2021.

Sedangkan volume penjualan emas diharap-kan meningkat menjadi 350 ribu oz pada 2021 dibandingkan perkiraan tahun ini sebanyak 320 ribu oz.

Berbagai faktor tersebut mendorong BRI Danareksa Sekuritas mempertahankan rekomendasi beli saham UNTR dengan target harga Rp 29.000.

Target harga tersebut mempertimbangkan kinerja keuangan perseroan yang lebih baik tahun depan, seiring ekspektasi pening-katan harga jual batu bara dan peningkatan volume penjualan emas.

Selain itu, pengoperasian pembangkit listrik Tanjung Jati pada akhir 2021 juga di-harapkan memberikan sentimen positif terhadap perseroan. Tahun ini,...

Daily News Update Page 10

This year, United Tractors' net profit is estimated to fall to Rp 2.03 tril l ion compared to 2019's realization of Rp 3.03 trillion. The company's revenue is also projected to fall to Rp 65.61 trillion in 2020 compared to 2019's revenue of Rp 84.43 trillion. EBITDA is estimated to decrease to Rp 15.92 trillion from Rp 22.53 trillion.

Meanwhile, RHB Sekuritas Indonesia analyst Andrey Wijaya revealed, the weakening of heavy equipment sales volume by United Tractors until October 2020 was stil l below expectations. Therefore, he cut United Tractors' 2020 financial performance target.

On the other hand, the company's financial performance in 2021-2022 has been revised upward, in line with expectations of improving demand and economic recovery.

This year, United Tractors' revenue has been revised down from Rp 70.28 trillion to Rp 66.4 trillion. Net income was lowered from Rp. 8 trillion to Rp. 7.16 trillion. However, next year, the company's revenue projection is revised up from Rp 78.01 trillion to Rp 78.39 trillion.

The projection of net profit was revised up from Rp 9.59 trillion to Rp 9.88 trillion. Meanwhile, in 2022, the company's revenue projection is revised up from Rp 79.14 trillion to Rp 80.69 trillion. The projection of net profit has also been revised up from Rp 9.99 trillion to Rp 10.93 trillion. The estimated net profit margin was raised from 12.6% to 13.5%.

"We have revised up the target price for UNTR's shares from Rp 25,000 to Rp 27,500 with a purchase recommendation," wrote Andrey in his research. Editor: Gora

Kunjana (gora_kunjana@investor.co.id)

Tahun ini, laba bersih United Tractors diperkirakan turun menjadi Rp 2,03 triliun dibandingkan realisasi tahun 2019 senilai Rp 3,03 triliun. Pendapatan perseroan juga diproyeksi turun menjadi Rp 65,61 triliun pada 2020 dibandingkan perolehan tahun 2019 senilai Rp 84,43 triliun. EBITDA diperkirakan turun menjadi Rp 15,92 triliun dari Rp 22,53 triliun.

Sementara itu, analis RHB Sekuritas Indonesia Andrey Wijaya mengungkapkan,

pelemahan volume penjualan alat berat oleh United Tractors hingga Oktober 2020

masih di bawah ekspektasi. Sebab itu, dia memangkas target kinerja keuangan

United Tractors tahun 2020.

Sebaliknya, kinerja keuangan perseroan tahun 2021-2022 direvisi naik, seiring

ekspektasi membaiknya permintaan dan pemulihan ekonomi.

Tahun ini, pendapatan United Tractors direvisi turun dari Rp 70,28 triliun menjadi

Rp 66,4 triliun. Laba bersih diturunkan dari Rp 8 triliun menjadi Rp 7,16 triliun.

Namun, tahun depan, proyeksi pendapatan perseroan direvisi naik dari Rp 78,01

triliun menjadi Rp 78,39 triliun.

Proyeksi laba bersih direvisi naik dari Rp 9,59 triliun menjadi Rp 9,88 triliun. Sedangkan pada 2022, proyeksi penda-patan perseroan direvisi naik dari Rp 79,14 triliun menjadi Rp 80,69 triliun. Proyeksi laba bersih juga direvisi naik dari Rp 9,99 triliun menjadi Rp 10,93 triliun. Estimasi margin keuntungan bersih di-naikkan dari 12,6% menjadi 13,5%.

“Kami merevisi naik target harga saham UNTR dari Rp 25.000 menjadi Rp 27.500 dengan rekomendasi beli,” tulis Andrey dalam risetnya. Edito r : Gora Kunjana

(gora_kunjana@investor.co.id)

Daily News Update Page 11

Darma Henwa (DEWA)'s profit depressed 24.9% despite the

slight increase in revenue Reporter: Akhmad Suryahadi | Editor:

Noverius Laoli

PT DARMA Henwa Tbk (DEWA) posted

revenues of US$ 239.14 million in the third quarter of 2020. This revenue edged up 0.58% from revenue in the same period the previous year which was only US$ 237.93 million.

A total of US$ 238.39 million or 99.68% of DEWA's revenue is income from related parties. The largest is from PT Kaltim Prima Coal (KPC) with US$ 175.82 million. Followed by revenue from PT Arutmin Indonesia amounting to US$ 47.64 million to PT Cakrawala Langit Sejahtera worth US$ 14.83 million.

On the other hand, a number of expenses were observed to have increased. Cost of revenue, for example, increased by 7.8% over the percentage increase in revenue to US$ 237.81 million. Finance charges also increased 112% on an annual basis, from US$ 3.18 million to US$ 8.10 million.

As a result, up to the third quarter of 2020, this mining contractor issuer posted a net profit attributable to the owners of the parent entity of US$ 895,255.

This realization decreased by 24.91% from DEWA's net profit in the same period in 2019 which reached US$ 1.19 million.

As of September 30, 2020, DEWA's total assets amounted to US$ 558.64 million. This amount consists of liabilities of US$ 289.88 million and equity of US$ 268.76 million.

Laba Darma Henwa (DEWA) tertekan 24,9% kendati pendapatan naik tipis

Reporter: Akhmad Suryahadi | Editor: Noverius Laoli

PT DARMA Henwa Tbk (DEWA) mem-

bukukan pendapatan senilai US$ 239,14 juta pada kuartal ketiga 2020. Pendapatan ini naik tipis 0,58% dari pendapatan di periode yang sama tahun sebelumnya yang hanya US$ 237,93 juta.

Sebanyak US$ 238,39 juta atau 99,68% dari pendapatan DEWA merupakan pendapatan dari pihak berelasai. Yang terbesar merupakan dari PT Kaltim Prima Coal (KPC) yakni US$ 175,82 juta. Disusul pendapatan dari PT Arutmin Indonesia sebesar US$ 47,64 juta hingga PT Cakrawala Langit Sejahtera senilai US$ 14,83 juta.

Di sisi lain, sejumlah beban terpantau mengalami kenaikan. Beban pokok pendapatan misalnya, naik 7,8% melebihi persentase kenaikan pendapatan menjadi US$ 237,81 juta. Beban keuangan juga naik 112% secara tahunan, dari US$ 3,18 juta menjadi US$ 8,10 juta.

Alhasil, hingga kuartal ketiga 2020, emiten kontraktor pertambangan ini membuku-kan laba bersih yang dapat diatribusikan kepada pemilik entitas induk senilai US$ 895.255.

Realisasi ini menurun 24,91% dari torehan laba bersih DEWA di periode yang sama tahun 2019 yang mencapai US$ 1,19 juta.

Per 30 September 2020, jumlah aset DEWA sebesar US$ 558,64 juta. Jumlah ini terdiri atas liabilitas senilai US$ 289,88 juta dan ekuitas senilai US$ 268,76 juta.

Daily News Update Page 12

The value of DEWA's cash and cash equivalents as of September 30, 2020 reached US$ 29.93 million, an increase from the position per December 31, 2019 which was only US$ 26.50

million.

Adapun nilai kas dan setara kas DEWA per 30 September 2020 mencapai US$ 29,93

juta atau naik dari posisi per 31 Desember 2019 yang hanya US$ 26,50 juta.

Martabe Mine Provides

Infrastructure Assistance to SMKN 2 Batangtoru Verified: Arifin Al Alamudi

PT AGINCOURT Resources (PTAR), the

manager of the Martabe Gold Mine, provided infrastructure assistance in the

form of building access to access roads, construction of green lanes and trash bins,

and support for learning facilities in the form of work safety simulators and mining

operational mockups to Vocational High School (SMK) Negeri 2 Batangtoru.

The provision of various assistance is a

form of company concern to improve the quality of education, especially in the area

around the Martabe Gold Mine operation. Meanwhile, the total value of support is

almost Rp. 800 million.

Education is one of the five focus sectors of the community empowerment program

carried out by PTAR, namely health, agriculture, local economic empowerment,

and infrastructure. PTAR Senior Manager Community Pramana Triwahjudi said the

company is committed to continuing to contribute to improving access and quality

of education.

1. SMKN 2 Batangtoru is a vocational school with a focus on mining education

in North Sumatra

Tambang Martabe Beri Bantuan

Infrastruktur pada SMKN 2 Batangtoru

Verified: Arifin Al Alamudi

PT AGINCOURT Resources (PTAR),

pengelola Tambang Emas Martabe mem-berikan bantuan infrastruktur berupa pembangunan peningkatan akses jalan masuk, pembangunan jalur hijau dan bak sampah, serta dukungan sarana pem-belajaran berupa simulator keselamatan kerja dan maket operasional pertam-bangan kepada Sekolah Menengah Kejuruan (SMK) Negeri 2 Batangtoru.

Pemberian berbagai bantuan ini merupa-kan bentuk kepedulian perusahaan untuk meningkatkan mutu pendidikan, terutama di wilayah sekitar operasi Tambang Emas Martabe. Adapun, total nilai dukungan senilai hampir Rp800 juta.

Pendidikan merupakan salah satu sektor dari lima sektor fokus program pember-dayaan masyarakat yang dilakukan oleh PTAR yakni kesehatan, pertanian, pember-dayaan ekonomi lokal, dan infrastruktur. Senior Manager Community PTAR Pramana Triwahjudi mengemukakan, perusahaan berkomitmen untuk terus berkontribusi terhadap peningkatan akses serta kualitas pendidikan.

1. SMKN 2 Batangtoru adalah sekolah vokasi dengan fokus pendidikan pertambangan pertama di Sumatera Utara

Daily News Update Page 13

There are three elements in the contri-bution of improving the quality of education, namely through improving the quality and accessibility of educational infrastructure and facilities, improving the quality of education implementation and management and increasing student participation, achievement and competi-tiveness.

The assistance provided is also part of the Partnership Program for the Assisted Schools of PT United Tractors Tbk (SOBAT Program) and PT Agincourt Resources with SMKN 2 Batangtoru which was signed on February 21, 2020, regarding the coaching & development of competency-based vocational high schools that are suitable and needed by the industry.

This multi-stakeholder development program is planned for 3 years, and aims to support the implementation of various programs in the education sector in an integrated manner, in terms of brainware, software, and hardware; to produce heavy equipment vocational graduates with quality knowledge, skills, and work ethic and meet the competency standards of the business world and the industrial world.

"SMKN 2 Batangtoru is the first vocational school with a focus on mining education in North Sumatra. We hope this support can improve the quality of education and students so that they are ready to compete in the world of work later, especially in the mining industry," said Pramana.

2. Support for educational curriculum development, development of teaching methods and enhancement of teacher competencies

Furthermore, Pramana detailed, develop-ment assistance for access to access roads along the 210 meters also includes a 105-meter entrance drainage channel and is also equipped with traffic signs.

Terdapat tiga elemen dalam kontribusi peningkatan kualitas pendidikan tersebut yakni melalui perbaikan kualitas dan aksesibilitas infrastruktur serta fasilitas pendidikan, perbaikan kualitas pelak-sanaan dan manajemen pendidikan serta peningkatan partisipasi, prestasi, dan daya saing siswa.

Bantuan yang diberikan juga merupakan bagian dari Kerjasama Program Sekolah Binaan PT United Tractors Tbk (Program SOBAT) dan PT Agincourt Resources dengan SMKN 2 Batangtoru yang ditanda-tangani pada 21 Februari 2020, tentang pembinaan & pengembangan sekolah menengah kejuruan berbasis kompetensi yang sesuai dan dibutuhkan oleh industri.

Program pengembangan multipihak ini direncanakan selama 3 tahun, dan ber-tujuan untuk mendukung pelaksanaan berbagai program di bidang pendidikan secara terpadu, baik dari sisi brainware, software, dan hardware; untuk meng-hasilkan lulusan kejuruan alat berat dengan pengetahuan, keterampilan, dan etos kerja yang berkualitas serta me-menuhi standar kompetensi dunia usaha dan dunia industri.

"SMKN 2 Batangtoru adalah sekolah vokasi dengan fokus pendidikan pertambangan pertama di Sumatera Utara. Kami berharap dukungan inidapat meningkatkan kualitas pendidikan dan siswa-siswi sehingga siap bersaing di dunia kerja nantinya, terutama di indutri pertambangan," ujar Pramana.

2. Dukungan pengembangan kurikulum pendidikan, pengembangan metode pengajaran serta peningkatan kompe-tensi Guru

Lebih lanjut, Pramana merinci, bantuan pembangunan peningkatan akses jalan masuk sepanjang 210 meter juga meliputi saluran drainase jalan masuk 105 meter sekaligus dilengkapi dengan rambu-rambu lalu lintas.

Daily News Update Page 14

The company also helped build a 300 meter long green line with two large garbage bins as well as the procurement of mining safety simulator tools and heavy equipment including electrical hazard simulators, isolation system simulators, tools box sets, tools compare, waste sorting simulator (3R), lift simulators. loads, props for the use of Personal Protective Equipment (PPE), as well as a light fire extinguisher (APAR) simulator.

Meanwhile, support from PT United Tractors Tbk through the SOBAT Program is in the form of educational curriculum development, teaching method develop-ment and teacher competency improve-ment.

"PTAR fully supports the government's efforts to continue to improve the quality of education, especially vocational, in the face of the industrial revolution 4.0. It takes a workforce who is ready to compete in the global market through the revitalization of Vocational High Schools based on Presidential Instruction No. 9/2016," Pramana said.

3. Part of the E-Coaching Jam program which is routinely organized by PTAR

PTAR Senior Manager Corporate Communications Katarina Siburian Hardono added, learning support was also provided through mock-ups or operational dioramas of the Martabe Gold Mine, namely the Water Processing Plant (WPP) and mineral processing lines (processing plants). This mock-up grant is part of the E-Coaching Jam (ECJ) program which is routinely organized by PTAR as part of the company's commitment to education.

"It is hoped that the Martabe Gold Mine operational mockup can be used to provide comprehensive information about PTAR's world-class mining operations, especially how the Martabe Gold Mine manages...

Perusahaan juga membantu pembangunan jalur hijau sepanjang 300 meter dengan kelengkapan dua bak sampah besar serta pengadaan alat simulator keselamatan kerja pertambangan dan alat berat meliputi simulator electrical hazard, simulator sistem isolasi, tools box set , tools compare, simulator pemilahan sampah (3R), simulator angkat beban, alat peraga penggunaan Alat Pelindung Diri (APD), serta simulator alat pemadam api ringan (APAR).

Sementara itu, dukungan dari PT United Tractors Tbk melalui Program SOBAT berupa pengembangan kurikulum pendidikan, pengembangan metode pengajaran serta peningkatan kompetensi Guru.

"PTAR mendukung penuh upaya pemerintah untuk terus meningkatkan kualitas pen-didikan khususnya vokasi, dalam meng-hadapi revolusi industri 4.0. Dibutuhkan tenaga kerja yang siap bersaing di pasar global melalui revitalisasi Sekolah Menengah Kejuruan berdasarkan Instruksi Presiden Nomor 9/2016," tutur Pramana.

3. Bagian dari program E-Coaching Jam yang rutin diselenggarakan oleh PTAR

Senior Manager Corporate Communications PTAR Katarina Siburian Hardono me-nambahkan, dukungan pembelajaran juga diberikan melalui maket atau diorama operasional Tambang Emas Martabe yakni Water Processing Plant (WPP) dan alur pengolahan mineral (pabrik pengolahan). Hibah maket ini merupakan bagian dari program E-Coaching Jam (ECJ) yang rutin diselenggarakan oleh PTAR sebagai bagian dari komitmen perusahaan di bidang pendidikan.

"Maket operasional Tambang Emas Martabe ini diharapkan dapat dimanfaatkan untuk memberikan informasi yang komprehensif mengenai operasional pertambangan ber-kelas dunia oleh PTAR, terutama bagaimana Tambang Emas Martabe mengelola...

Daily News Update Page 15

especially how the Martabe Gold Mine manages water and is environmentally friendly, as well as the eff icient and sustainable processing of gold and silver," said Katarina.

Principal of SMKN 2 Batangtoru Nurlaili expressed his gratitude for the assistance provided by PTAR. All the assistance provided is very suitable and supports the government's program to improve the quality of vocational education.

"We are happy to receive this assistance. PTAR has provided a lot of assistance to us, even since 2013, namely tools to help geology and mining education, then buildings and furniture for learning and so on. We will use everything maximally for the advancement of SMKN 2 Batangtoru," closed Nurlaili. Editorial Team

terutama bagaimana Tambang Emas Martabe mengelola air dan ramah lingkungan, serta proses pengolahan emas dan perak secara efisien dan berkelanjutan," kata Katarina.

Kepala Sekolah SMKN 2 Batangtoru Nurlaili menyampaikan terima kasih atas bantuan yang diberikan oleh PTAR. Seluruh bantuan yang diberikan sangat sesuai dan men-dukung program peningkatan kualitas pendidikan vokasi oleh pemerintah.

"Kami dengan senang hati menerima bantuan ini. PTAR sudah banyak mem-berikan bantuan kepada kami, bahkan sejak 2013 yakni alat-alat untuk membantu pendidikan geologi dan pertambangan, lalu bangunan dan perabotan untuk belajar dan sebagainya. Kami akan manfaatkan semua-nya dengan maksimal demi kemajuan SMKN 2 Batangtoru," tutup Nurlaili. Editorial Team

PT Smelting boosts copper

cathode production to 279,000 tons in 2020

Reporter: Ridwan Nanda Mulyana | Editor: Khomarul Hidayat

PT SMELTING's copper cathode production

will increase this year. The copper smelter, located in Gresik, East Java, is targeting production of 279,000 tons of copper cathodes throughout 2020. This figure is an increase of about 9.4 percent compared to last year's production of 255,000 tons.

PT Smelting's Senior Technical External Manager, Bouman T. Situmorang, said that the supply of raw materials in the form of copper concentrate was supported by PT Freeport Indonesia (PTFI). This year, concentrate supply from PTFI is estimated at 850,000 tonnes - 900,000 tonnes.

PT Smelting dongkrak produksi

katoda tembaga jadi 279.000 ton di 2020

Reporter: Ridwan Nanda Mulyana | Editor: Khomarul Hidayat

PRODUKSI katoda tembaga PT Smelting

bakal terdongkrak pada tahun ini. Smelter tembaga yang berlokasi di Gresik, Jawa Timur ini menargetkan produksi 279.000 ton katoda tembaga sepanjang 2020. Angka itu naik sekitar 9,4% dibandingkan realisasi produksi pada tahun lalu yang sebanyak 255.000 ton.

Senior Manager Technical Eksternal PT Smelting Bouman T. Situmorang menyam-paikan, pasokan bahan baku berupa konsentrat tembaga ditopang oleh PT Freeport Indonesia (PTFI). Pada tahun ini, pasokan konsentrat dari PTFI ditaksir mencapai 850.000 ton - 900.000 ton.

Daily News Update Page 16

In order to optimize the smelter capacity at 1 million tons, PT Smelting also accommodates copper concentrate supply from PT Amman Mineral Nusa Tenggara (AMNT). By 2020, concentrate supply from AMNT is projected to be 100,000 tonnes - 150,000 tonnes.

In terms of volume, Bouman said that the supply of copper concentrate was not much different from last year. However, the copper content in the concentrate supplied this year is higher than in 2019.

"The copper content in the concentrate is higher than 2019. With the same amount of processed concentrate, the production (copper cathode) will automatically increase," Bouman told Kontan.co.id, Sunday (29/11).

The high level of copper in this year's concentrate supply cannot be separated from the mining transition process at PTFI. Last year, the copper content in the concentrate supplied by PTFI was lower because it was in a transitional period, namely in the final phase of open pit mining.

Meanwhile, this year, mining has started entirely from underground mining. "Last year, the final phase of open pit mining and the beginning of underground mining," said Bouman.

Even though during the Covid -19 pandemic, Bouman said that the supply of copper concentrate and smelter operational performance were stil l maintained. As of the third quarter of 2020, PT Smelting's copper cathode production has reached 210,000 tons.

"PT Smelting operates normally by implementing health protocols. The concentrate supply from the mine is also normal," he added.

Untuk dapat mengoptimalkan kapasitas smelter di angka 1 juta ton, PT Smelting

pun menampung pasokan konsentrat tembaga dari PT Amman Mineral Nusa

Tenggara (AMNT). Pada 2020, pasokan konsentrat dari AMNT diproyeksikan

sebanyak 100.000 ton - 150.000 ton.

Secara volume, Bouman menyebut bahwa

pasokan konsentrat tembaga tersebut sejatinya tidak jauh berbeda dibanding

tahun lalu. Namun, kandungan tembaga pada konsentrat yang dipasok tahun ini

lebih tinggi ketimbang pada 2019.

"Kandungan tembaga di konsentrat lebih

tinggi dari 2019. Dengan jumlah konsentrat terolah yang hampir sama,

maka otomatis produksi (katoda tembaga) meningkat ," kata Bouman kepada

Kontan.co.id, Minggu (29/11).

Tingginya kadar tembaga pada pasokan

konsentrat tahun ini tak lepas dari proses transisi penambangan di PTFI. Tahun lalu,

kadar tembaga pada konsentrat yang dipasok PTFI lebih mini lantaran berada

pada masa transisi, yakni di fase akhir penambangan terbuka (open pit).

Sedangkan pada tahun ini penambangan sudah mulai sepenuhnya berasal dari

tambang bawah tanah. "Tahun lalu fase akhir penambangan terbuka dan awal dari

bawah tanah," ujar Bouman.

Meski pada masa pandemi covid-19,

Bouman menyampaikan pasokan konsen-trat tembaga dan kinerja operasional

smelter masih tetap terjaga. Hingga Kuartal III-2020, produksi katoda tembaga

PT Smelting sudah 210.000 ton.

"PT Smelting beroperasi normal dengan

menerapkan protokol kesehatan. Supply konsentrat dari tambang juga normal,"

imbuhnya.

Daily News Update Page 17

Regarding the market, Bouman explained that the absorption of copper cathodes in the country had decreased due to the pandemic. The domestic demand for copper cathodes comes from copper rod and copper wire factories as raw materials for the cable industry.

As a result, copper cathodes that are not absorbed in the domestic market are supplied to the export market. With the majority in the Southeast Asian market, namely Malaysia, Thailand, Vietnam. In addition, China is also a market for PT Smelting's copper cathodes.

So far, PT Smelting's domestic and export markets are relatively balanced. However, in the midst of a pandemic, there was a shift so that the export market was more dominant. "The projection for 2020 is 22% domestic and 78% export," said Bouman.

Apart from producing copper cathodes, PT Smelting also produces by-products such as sulfuric acid, copper slag, gypsum, and anode sludge. However, Bouman did not explain in detail the production targets of each of these by-products.

To be sure, he gave an illustration, with the increase in copper content in the concentrate as a raw material, the volume of by-products produced by PT Smelting could decline compared to last year.

"The byproducts depend on the chemical composition of the concentrate. The copper content increases in the concentrate, so the other content will decrease. So that the amount of by-products can also decrease," said Bouman.

Apart from operational performance, currently PT Smelting is also in the spotlight because PT Freeport Indonesia wants to increase PT Smelting's capacity by 300,000 tons. So that PT Smelting 's processing capacity will increase from the current 1 million tons to 1.3 million tons of concentrate.

Mengenai pasar, Bouman menjelaskan bahwa serapan katoda tembaga di dalam negeri merosot lantaran terimbas pandemi. Adapun demand katoda tembaga di dalam negeri berasal dari pabrik copper rod dan copper wire sebagai bahan baku di industri kabel.

Alhasil, katoda tembaga yang tak terserap di pasar dalam negeri dipasok ke pasar ekspor. Dengan mayoritas di pasar Asia Tenggara, yakni Malaysia, Thailand, Vietnam. Selain itu, China juga menjadi pasar bagi katoda tembaga PT Smelting.

Selama ini, pasar dalam negeri dan ekspor PT Smelting relatif berimbang. Namun di tengah kondisi pandemi, terjadi pergeseran sehingga pasar ekspor lebih dominan. "Proyeksi tahun 2020 adalah 22% domestik dan 78% ekspor," kata Bouman.

Selain memproduksi katoda tembaga, PT Smelting juga mengasilkan produk sampingan seperti asam sulfat, terak tembaga, gipsum, dan lumpur anoda. Hanya saja, Bouman tak secara detail memaparkan target produksi dari masing-masing produk sampingan tersebut.

Yang pasti, dia memberikan gambaran, dengan meningkatnya kadar tembaga pada konsentrat sebagai bahan baku, maka volume dari produk samping yang dihasilkan PT Smelting bisa merosot dibanding tahun lalu.

"Produk samping bergantung terhadap komposisi kimia konsentrat. Kandungan tembaga meningkat di konsentrat, maka kandungan lain akan menurun. Sehingga produk samping jumlahnya bisa menurun juga," jelas Bouman.

Di luar kinerja operasional, saat ini PT Smelting juga menjadi sorotan lantaran PT Freeport Indonesia hendak menambah kapasitas PT Smelting sebesar 300.000 ton. Sehingga kapasitas pengolahan PT Smelting bertambah dari yang saat ini 1 juta ton menjadi 1,3 juta ton konsentrat.

Daily News Update Page 18

On November 13, 2020, PTFI has signed a memorandum of understanding (MoU) with Mitsubushi Materials Corporation for expansion at PT Smelting. The target is that the additional capacity can be completed in December 2023.

Unfortunately, Bouman has not been able to disclose the preparations and stages of PT Smelting's expansion. "It is still negotiating with shareholders. After expansion, it will affect the copper production target. What is certain is that the target is finish in 2023," added Bouman.

Just so you know, PT Smelting is the first copper smelter in Indonesia built by PTFI together with a Japanese consortium and operated by Mitsubishi Corporation. PT Smelting was established in 1996 as part of fulfilling PTFI's obligations under its Contract of Work (COW) II.

The composition of PT Smelting's share ownership is held by PTFI 25%. Mitsubishi Materials Corporation owns a majority stake of 60.5%. The remaining 9.5% is owned by Mitsubishi Corporation Unimetal Ltd, and Nippon Mining and Metals Co. Ltd. as much as 5%.

Pada 13 November 2020, PTFI sudah menandatangani nota kesepahaman (MoU) bersama Mitsubushi Materials Corporation untuk ekpansi di PT Smelting. Targetnya, penambahan kapasitas tersebut bisa selesai pada Desember 2023.

Sayangnya, Bouman belum dapat mem-beberkan mengenai persiapan dan tahapan dari ekspansi PT Smelting tersebut. "Itu masih negosiasi pemegang saham. Setelah ekspansi, akan mempengaruhi target produksi tembaga. Yang pasti targetnya finish 2023," imbuh Bouman.

Asal tahu saja, PT Smelting merupakan smelter tembaga pertama di Indonesia yang dibangun PTFI bersama dengan konsorsium Jepang dan dioperasikan oleh Mitsubishi Corporation. PT Smelting dibangun pada tahun 1996 sebagai bagian dari pemenuhan kewwajiban PTFI pada Kontrak Karya (KK) II.

Komposisi kepemilikan saham PT Smelting dipegang 25% oleh PTFI . Mitsubishi Materials Corporation memiliki saham mayoritas sebanyak 60,5%. Sisanya sebanyak 9,5% dimiliki Mitsubishi Corporation Unimetal Ltd, dan Nippon Mining and Metals Co. Ltd. sebanyak 5%.

Hindered by Pandemic, OB Darma Henwa (DEWA) Volume

Keeps Up in October 2020 Finna U. Ulfah

THE MINING contractor issuer, PT Darma

Henwa Tbk., Recorded an Overburden

Removal (OB) volume of 9.39 million bcm

in October 2020.

Terhalang Pandemi, Volume OB Darma Henwa (DEWA) Tetap

Naik pada Oktober 2020 Finna U. Ulfah

EMITEN kontraktor pertambangan, PT

Darma Henwa Tbk., mencatatkan volume pengupasan lapisan atau Overburden Removal (OB) sebesar 9,39 juta bcm pada Oktober 2020.

Daily News Update Page 19

Based on the company's operational performance report, the realization managed to increase by 7.59 percent compared to the OB achievement in the previous month of 8.73 million bcm.

Meanwhile, the largest contribution to the Company's OB volume came from the Bengalon coal project, followed by the Satui mine and the Asam-Asam mine in South Kalimantan.

Thus, the OB performance of the issuer coded as DEWA shares during the first 10 months of this year was 95.42 million bcm, down 0.72 percent compared to the realization in the same period last year of 96.1 million bcm.

Meanwhile, DEWA's coal delivery performance in October 2020 also rose 6.23 percent to 1.46 million tons, compared to the realization in September 2020, which amounted to 1.37 million tons.

Unlike OB's performance, DEWA was able to record an increase in the performance of coal shipments in the first 10 months of 2020 to 14.23 million tons, up 7.63 percent from 13.22 million tons in the same period last year.

Darma's Corporate Secretary Henwa Mukson Arif Rosyidi said that during October 2020, logistical challenges and delays in the delivery of spare parts due to the Covid-19 pandemic combined with delays in weather pickup or rainfall have hampered DEWA's operations.

"However, DEWA is able to strengthen the volume of overburden production and coal delivery through careful mine planning to reduce haul distances, increase efficiency, and use a lower stripping ratio," he said as quoted by Bisnis from an official statement, Sunday (29/11/2020).

Berdasarkan laporan kinerja operasional perseroan, realisasi itu berhasil naik sebesar 7,59 persen dibandingkan dengan pencapaian OB pada bulan sebelumnya sebesar 8,73 juta bcm.

Adapun, kontribusi terbesar volume OB Perseroan berasal dari proyek batu bara Bengalon, diikuti tambang Satui, dan tambang Asam-asam di Kalimantan Selatan.

Dengan demikian, kinerja OB dari emiten berkode saham DEWA itu sepanjang 10 bulan pertama tahun ini sebesar 95,42 juta bcm, turun 0,72 persen daripada realisasi periode yang sama tahun lalu sebesar 96,1 juta bcm.

Sementara itu, kinerja pengiriman batu bara DEWA pada Oktober 2020 juga naik 6,23 persen menjadi 1,46 juta ton, di-bandingkan dengan realisasi September 2020, yang sebesar 1,37 juta ton.

Tidak seperti kinerja OB, DEWA mampu mencatatkan kenaikan kinerja pengiriman batu bara pada periode 10 bulan pertama 2020 menjadi sebesar 14,23 juta ton, naik 7,63 persen daripada 13,22 juta ton periode yang sama tahun lalu.

Sekretaris Perusahaan Darma Henwa Mukson Arif Rosyidi mengatakan bahwa selama Oktober 2020, tantangan logistik dan keterlambatan pengiriman suku cadang karena pandemi Covid-19 di-kombinasikan dengan penundaan cuaca penjemputan atau curah hujan telah menghambat operasi DEWA.

“Namun, DEWA mampu memperkuat volume produksi overburden dan pengiriman batu bara melalui perencanaan tambang yang cermat untuk menurunkan jarak angkut, meningkatkan efisiensi, dan menggunakan stripping ratio yang lebih rendah,” tuturnya seperti dikutip Bisnis dari keterangan resmi, Minggu (29/11/ 2020).

Daily News Update Page 20

Meanwhile, the company's stripping ratio in October 2020 was in the range of 9.22 for the Bengalon mine, 1.84 for the Asam-Asam mine, and 12.47 for the Satui mine.

On the other hand, Mukson explained that the company is developing an office, workshop and redevelopment center in Balikpapan which is expected to be operational in early 2021. Editor: Annisa

Margrit

Adapun, stripping ratio perseroan pada Oktober 2020, berada pada kisaran 9,22 untuk tambang Bengalon, 1,84 untuk tambang Asam-asam, dan 12,47 untuk tambang Satui.

Di sisi lain, Mukson menjelaskan perseroan tengah mengembangkan kantor, bengkel, dan pusat pembangunan kembali di Balikpapan yang diharapkan dapat ber-operasi pada awal 2021. Editor : Annisa Margrit

Collaborating with CNI, WIKA

Accelerates the Development of the Ferronickel Smelter National

Strategic Project Athika Rahma

PT WIJAYA Karya (WIKA) signed a

cooperation contract with PT Ceria Metalindo Indotama (CMI), a subsidiary of PT Ceria Nugraha Indotama (CNI) in a project to build a nickel processing and refining plant for Rotary Kiln Electric Furnace (RKEF) production 3 and 4 (2x72 MVA).

WIKA has won the trust to implement the project based on administrative, technical, price, qualification and veri fication evaluations by PT CNI. Meanwhile, the contract value achieved from this agreement reached Rp 2.8 trillion and USD 180.39 million.

"WIKA positively welcomes the great trust given by PT Ceria Nugraha Indotama. Insha Allah, this project can be completed on time with satisfactory quality and can be a tipping point for the revival of the mineral-based industry in the country and the world," said WIKA's Main Director, Agung Budi. Waskito in his speech, Sunday (29/11/2020).

Gandeng CNI, WIKA Percepat

Pembangunan Proyek Strategis Nasional Smelter Ferronickel

Athika Rahma

PT WIJAYA Karya (WIKA) menanda-tangani kontrak kerjasama dengan PT Ceria Metalindo Indotama (CMI), entitas anak PT Ceria Nugraha Indotama (CNI) dalam proyek pembangunan pabrik pengolahan dan pemurnian nikel Rotary Kiln Electric Furnace (RKEF) produksi 3 dan 4 (2 x72 MVA).

WIKA telah mendapat kepercayaan sebagai pelaksana proyek tersebut berdasarkan evaluasi administrasi , teknis, harga , kualifikasi dan verifikasi oleh PT CNI. Adapun, nilai kontrak yang diraih dari kesepakatan ini mencapai Rp 2,8 triliun dan USD 180,39 juta.

"WIKA menyambut positif kepercayaan besar yang diberikan oleh PT Ceria Nugraha Indotama. Insha Allah, proyek ini dapat selesai tepat waktu dengan kualitas yang memuaskan dan bisa menjadi titik ungkit kebangkitan industri berbasis mineral di tanah air dan dunia," ujar Direktur Utama WIKA, Agung Budi Waskito dalam sam-butannya, Minggu (29/11/2020).

Daily News Update Page 21

The Ferronickel plant will consist of two production lines, where each line will be supported by the main production facilities, namely: Rotary Dryer with a capacity of 196 tons/hour (wet base), Rotary Kiln with a capacity of 178 tons/hour (wet base), Electric Furnace with a capacity. 72 MVA and other supporting equipment with a project completion target in 2023 and able to reach a production capacity of 27,800 tonnes Ni/year (Ferronickel 22 percent Ni).

Apart from CMI, a subsidiary of CNI that has also signed a partnership with WIKA is PT Ceria Kobalt Indotama (CKI). The collaboration between the two focuses on the EPC synergy of the Laterite Hydro-metallurgy nickel project and the power plant with an estimated contract value of USD 1.1 billion.

The project to construct a cobalt processing and refining facility with technology (HPAL) which is the core of the cooperation is projected to have an annual production capacity of 100,000 tons/year Mixed Hydroxide Precipitate (MHP) (40 percent Ni and 4 percent Co in MHP) and 158,000 tons/year Chromium concentrate.

The main production facilities at the factory are the Ore preparation facility and Hydrometallurgical plant with a capacity of 3.6 million tons per year (dry base), and a Limestone treatment plant with a capacity of 770 thousand tons per year (wet base).

Then the Sulfuric Acid Plant with a capacity of 550 thousand tons per year, Residue storage facilites with a capacity of 970 thousand tons of tailings and other supporting equipment.

36 months

It is planned that the project which is located in Wolo, Kolaka, Southeast Sulawesi will last for 36 working calendar months. The Company's scope of work includes...

Pabrik Feronikel tersebut akan terdiri dari dua lajur produksi, dimana masing-masing lajur akan ditunjang dengan fasilitas produksi utama yaitu: Rotary Dryer berkapasitas 196 ton/jam (wet base), Rotary Kiln berkapasitas 178 ton/jam (wet base), Electric Furnace berkapasitas 72 MVA serta peralatan penunjang lainnya dengan target penyelesaian proyek pada tahun 2023 dan mampu mencapai kapasitas produksi sebesar 27.800 ton Ni/year (Ferronickel 22 persen Ni).

Selain CMI, entitas anak dari CNI yang juga melakukan tanda tangan kerja sama dengan WIKA adalah PT Ceria Kobalt Indotama (CKI). Kerjasama keduanya berfokus pada sinergi EPC proyek nikel Laterite Hydro-metallurgy beserta power plant dengan estimasi nilai kontrak sebesar USD 1,1 miliar.

Proyek pembangunan fasilitas pengolahan dan pemurnian kobalt dengan teknologi (HPAL) yang menjadi inti pada kerja sama tersebut diproyeksikan memiliki kapasitas produksi per tahun sebesar 100.000 ton/tahun Mixed Hydroxide Precipitate (MHP) (40 persen Ni dan 4 persen Co dalam MHP) dan 158.000 ton/tahun konsetrat Chromium.

Fasilitas produksi utama pada pabrik tersebut adalah Ore preparation facility dan Hydrometallurgical plant berkapasitas 3,6 juta ton per tahun (dry base), Limestone treatment plant berkapasitas 770 ribu ton per tahun (wet base).

Kemudian Sulfuric Acid Plant berkapasitas 550 ribu ton per tahun, Residue storage facilites berkapasitas 970 ribu ton tailing serta peralatan penunjang lainnya.

36 Bulan

Rencananya Proyek yang berlokasi di Wolo, Kolaka, Sulawesi Tenggara ini akan ber-langsung selama 36 bulan kalender kerja. Lingkup pekerjaan Perseroan meliputi...

Daily News Update Page 22

The Company's scope of work includes engineering, procurement, construction, commissioning and financing.

"Hopefully with the signing of this strategic contract, PT CNI can optimize the potential for nickel in the country and make the upstream and downstream nickel industries a sector that is predicted to be prospective in the next few years," said CMI President Director Derian Sakmiwata.

For information, the project to build a nickel processing and refining plant in its future operations will use the proven Rotary Kiln - Electric Furnace route to process nickel ore with a grade of 1.59 percent Ni into ferronickel with a grade of 22 percent.

Unlike the nickel factories in Indonesia in general which use circular type electric furnaces, this factory uses a rectangular type electric furnace which has advantages, among others, first, it has a more efficient energy consumption/ton or kWh/ton because it uses a slag -dipped electrode design. (submerged).

Second, it has a longer service life due to the excellent flexibility of the rectangular structure overcoming the furnace expansion problem. Third, it has a better Ni recovery rate, through the slag settling section which is extended by rectangular dimensions.

Meanwhile, in a project with CKI, the technology to be used is High Pressure Acid Leaching (HPAL) technology which has been proven to process limonite nickel ore with a content of 1.25 percent Co and 0.13 percent Ni into Mixed Hydroxide Precipitate with a content of 40 thousand tons of nickel per year and 4 thousand tons of cobalt per year as raw material for electric vehicle battery components. The byproduct which has economic value from this HPAL plant is chromium concentrate amounting to 158 thousand tons per year.

Lingkup pekerjaan Perseroan meliputi engineering, procurement, construction, commisioning, dan financing.

"Semoga dengan ditandatanganinya kontrak strategis ini, PT CNI bisa mengoptimalkan besarnya potensi nikel di dalam negeri dan menjadikan industri hulu dan hilir nikel sebagai sektor yang diprediksi bakal prospektif dalam beberapa tahun ke depan," ujar Direktur Utama CMI Derian Sakmiwata.

Sebagai informasi, proyek pembangunan pabrik pengolahan dan pemurnian nikel dalam pengoperasiannya kelak akan meng-gunakan rute Rotary Kiln – Electric Furnace yang sudah terbukti (proven) untuk mengolah bijih nikel kadar 1,59 persen Ni menjadi ferronickel dengan kadar 22 persen.

Berbeda dengan pabrik nikel di Indonesia pada umumnya yang menggunakan electric furnace tipe circular, pabrik ini menggunakan electric furnace tipe rectangular yang memiliki keunggulan, antara lain, pertama, memiliki konsumsi energi/ton atau kWh/ton yang lebih efisien karena menggunakan desain electrode yang tercelup slag (submerged).

Kedua, memiliki service life yang lebih lama karena fleksibilitas struktur rectangular yang sangat baik mengatasi masalah ekspansi furnace. Ketiga, Memiliki tingkat recovery Ni yang lebih baik, melalui bagian slag settling yang diperpanjang oleh dimensi rectangular.

Sementara, pada proyek dengan CKI, tekno-logi yang akan digunakan adalah teknologi High Pressure Acid Leaching (HPAL) yang sudah terbukti (proven) untuk mengolah bijih nikel limonit kadar 1,25 persen Co and 0,13 persen Ni menjadi Mixed Hydroxide Precipitate dengan kandungan 40 ribu ton nikel per tahun dan 4 ribu ton kobalt per tahun sebagai bahan baku komponen baterai kendaraan listrik. Produk sampingan (byproduct) yang bernilai ekonomis dari HPAL plant ini adalah konsentrat Kromium sebesar 158 ribu ton per tahun.

Daily News Update Page 23

HPAL technology is able to absorb valuable minerals from low grade nickel ore (limonite) such as cobalt and nickel. This step is economical because of its low energy consumption, thus minimizing operational costs (opex) and has a nickel and cobalt recovery rate of up to 90 percent.

Teknologi HPAL mampu menyerap mineral berharga dari bijih nikel kadar rendah (limonit) seperti kobalt dan nikel. Langkah ini ekonomis karena konsumsi energi yang rendah, sehingga meminimalisir biaya operasional (opex) dan memiliki tingkat perolehan (recovery) nikel dan kobalt mencapai 90 persen.

Ouch! Gold Keeps Dropping,

Copper Even Strengthens Ferry Sandi, CNBC Indonesia

GOLD prices continued to decline in the

last three weeks. Meanwhile, another commodity, namely copper, continues to

grow in value. Reporting from Bloomberg, copper price broke the highest record in

the last 7 years in London.

Unfortunately, copper is not in line with gold. Currently, the price has fallen below

US$ 1,800 per ounce, and even touched the figure of US$ 1,784.43. This value is the

lowest for the first time since last July. The decline in the price of gold makes investors

continue to switch to other assets. Even though these are assets, they have the

potential to reap greater profits from the pandemic recovery.

This difference in fate shows how investors are increasingly turning away from gold,

which is seen as a haven in times of economic stress, choosing copper, which is

seen as a determinant of the direction of the global economy and an important part

of the transition to low-carbon energy resources.

Aduh! Emas Ambles Terus Nih,

Tembaga Justru Malah Menguat Ferry Sandi, CNBC Indonesia

HARGA emas terus menurun dalam tiga

pekan terakhir. Sementara komoditas lain yakni tembaga terus memiliki nilai yang bertumbuh. Dilansir dari Bloomberg, harga tembaga menembus rekor tertinggi dalam 7 tahun terakhir di London.

Sayangnya, kondisi tembaga tidak sejalan dengan emas. Saat ini harganya sudah turun di bawah US$ 1.800 per ounce, bahkan sempat menyentuh angka US$ 1784,43. Nilai ini menjadi yang terendah untuk pertama kalinya sejak Juli lalu. Penurunan harga emas membuat investor terus beralih ke aset lain. Meski aset tersebut, namun potensi meraup keuntungan lebih besar dari pemulihan pandemi.

Perbedaan nasib itu menunjukkan bagaimana investor semakin berpaling dari emas, yang dianggap sebagai tempat berlindung di saat tekanan ekonomi, memilih tembaga, yang dipandang sebagai penentu arah ekonomi global dan bagian penting dari transisi ke sumber daya energi rendah karbon.

Daily News Update Page 24

Rising commodity prices also boosted shares in the copper sector. The global copper producer index rose to the highest level since January 2013, led by Teck Resources Ltd., Vale S.A. and Antofagasta Plc.

Another positive sentiment was triggered by China's economic rebound. The country's latest factory gauge, due for release Monday, is expected to spark consumer activity in buying copper or a steady expansion.

Although, data from the Shanghai Futures Exchange on Friday showed copper stocks in warehouses fell to their lowest level since late 2014.

"Optimism fueled by the positive vaccine news has impacted gold continuing to slide despite the dollar's weakness," said Tai Wong, head of metal derivatives trading at BMO Capital Markets.

Meanwhile the sharp decline in Bullion was in line with the outflow of funds traded on the gold exchange. These funds have become an important supporting pillar for gold bullion in 2020, so their current erosion has significant price implications.

It is not impossible for the price to fall again. Current values in the $ 1,760 and $ 1,780 range will pave the way for further weakness towards $ 1,600. "Gold has moved into the next correction phase," said market strategist United Overseas Bank Ltd. Quek Ser Leang.

Spot gold was down 1.5% to $ 1,788.53 an ounce at 2:05 p.m. in New York. Bullion fell 1.3% to $ 1,788.10 an ounce. Silver fell 3.6%, while platinum and palladium strengthened. Copper on the London Metal Exchange rose 1.3% to $ 7,499.50 a metric ton. The Bloomberg Dollar Spot Index fell 0.1%. (dru)

Meningkatnya harga komoditas ikut mengerek saham di sektor tembaga. Indeks produsen tembaga global naik ke level tertinggi sejak Januari 2013, dipimpin oleh Teck Resources Ltd., Vale S.A. dan Antofagasta Plc.

Sentimen positif lain dipicu dari Rebound ekonomi China. Pengukur pabrik terbaru negara itu, yang akan dirilis Senin, di-harapkan memicu aktivitas konsumen dalam membeli tembaga atau adanya ekspansi yang stabil.

Meskipun, data dari Shanghai Futures Exchange pada hari Jumat kemarin me-nunjukkan stok tembaga di gudang turun ke level terendah sejak akhir 2014.

"Optimisme yang dipicu oleh berita vaksin yang positif telah berdampak pada emas yang terus merosot meskipun dolar melemah," kata kepala perdagangan derivatif logam di BMO Capital Markets Tai Wong.

Sementara penurunan tajam Bullion sejalan dengan arus keluar dana yang diperdagang-kan di bursa emas. Dana tersebut telah menjadi pilar pendukung penting untuk emas batangan pada tahun 2020, sehingga erosi mereka saat ini memiliki implikasi yang signifikan terhadap harga.

Bukan tidak mungkin harganya bisa kembali anjlok. Nilai saat ini di kisaran $ 1.760 dan $ 1.780 akan membuka jalan untuk kelemahan lebih lanjut menuju $ 1.600. "Emas telah pindah ke fase koreksi berikutnya," menurut ahli strategi pasar United Overseas Bank Ltd. Quek Ser Leang.

Spot emas turun 1,5% menjadi $ 1.788,53 per ounce pada pukul 2:05 sore. di New York. Bullion turun 1,3% menjadi $ 1.788.10 per ounce. Perak turun 3,6%, sementara platinum dan paladium menguat. Tembaga di London Metal Exchange naik 1,3% menjadi $ 7.499,50 per metrik ton. Indeks Spot Dolar Bloomberg turun 0,1%. (dru)

Daily News Update Page 25

Solar power plants development in ex-mining land could be a

reclamation option Denis Riantiza Meilanova

THE USE of ex-mining land for the

development of solar power plants (PLTS) can be an option for the reclamation program by mining business license holders.

The Director of Engineering and the Environment for Mineral and Coal at the Ministry of Energy and Mineral Resources (MEMR) Lana Saria said that reclamation in the form of developing PLTS as reclamation of other forms is possible by law. However, its implementation must pay attention to a number of considerations.

"Considering whether there is a location or not a location or location availability, whether it is an ex-mining area or an ex-mining pit. Then how much land is used, then the condition of electric ity availability. Don't just build it but can't be used or the quota has been met," said Lana a webinar, Friday (27/11/2020).

Lana said that currently there are eight mining companies that have proposed to use ex-mining land for PLTS. These companies include PT Trubaindo Coal Mining, PT Indominco Mandiri, PT Multi Harapan Utama, PT Bukit Asam Tbk., PT Timah Tbk., PT Adaro Indonesia, PT Borneo Indobara, and PT Berau Coal.

In addition, there are approximately 6,017.9 hectares of mining area that is being monitored by the government for the implementation of the reclamation program.

Pengembangan PLTS di Lahan Bekas Tambang Bisa Jadi Opsi

Reklamasi Denis Riantiza Meilanova

PEMANFAATAN lahan bekas tambang

untuk pengembangan pembangkit listrik tenaga surya (PLTS) bisa menjadi salah satu opsi untuk program reklamasi oleh pemegang izin usaha pertambangan.

Direktur Teknik dan Lingkungan Mineral dan Batubara Kementerian Energi dan Sumber Daya Mineral (ESDM) Lana Saria mengatakan bahwa reklamasi dalam bentuk pengembangan PLTS sebagai reklamasi bentuk lain dimungkinkan oleh undang-undang. Namun demikian, pelak-sanaannya harus memperhatikan sejumlah pertimbangan.

"Pertimbangan bahwa ada atau tidak lokasi atau ketersediaan lokasi, baik itu apakah lahan bekas tambang atau lubang bekas tambang. Kemudian berapa luas lahan yang dimanfaatkan, lalu kondisi keter-sediaan listrik. Jangan hanya bangun tapi tidak bisa dimanfaatkan atau kuotanya sudah terpenuhi," ujar Lana dalam sebuah webinar, Jumat (27/11/2020).

Lana menuturkan, saat ini sudah ada delapan perusahaan tambang yang meng-ajukan pemanfaatan lahan bekas tambang untuk PLTS. Perusahan tersebut antara lain, PT Trubaindo Coal Mining, PT Indominco Mandiri, PT Multi Harapan Utama, PT Bukit Asam Tbk., PT Timah Tbk., PT Adaro Indonesia, PT Borneo Indobara, dan PT Berau Coal.

Selain itu, terdapat sekitar 6.017,9 hektar luasan areal tambang yang tengah diawasi pemerintah untuk pelaksanaan program reklamasi.

Daily News Update Page 26

Some of them have the potential to become a PLTS development area, but they still need further study.

Although ex-mining land is very potential for PLTS development, there are still a number of challenges in its implementation. Some of them are related to the allocation in the RUPTL of PT PLN (Persero) which is still limited for the development of PLTS, the status of the mining area, as well as the manager and price.

"The status of the land belongs to the community or forestry, which one day when the mine is finished must return to the owner of the land or if he has to return to the government, it will remain with the status of the forest. Then later who will manage it and what is the economic price," said Lana.

Another obstacle for the development of PLTS for ex-mining land connected to the PLN electricity system is that there is no guarantee for the management of PLTS for land owners who are interested in developing PLTS.

"This is indeed the obstacle we feel right now with the eight that have submitted it. Maybe later maybe we will discuss it internally with PLN," added Lana. Editor: Andhika Anggoro Wening

Beberapa di antaranya berpotensi untuk menjadi areal pengembangan PLTS, namun masih memerlukan kajian lebih lanjut.

Meski lahan bekas tambang sangat potensial untuk pengembangan PLTS, masih terdapat sejumlah tantangan dalam pelaksanaannya. Beberapa diantaranya terkait dengan alokasi dalam RUPTL PT PLN (Persero) yang masih terbatas untuk pengembangan PLTS, status lahan areal pertambangan, serta pengelola dan harga.

"Status lahan milik masyarakat atau kehutanan yang suatu saat nanti bila tambang selesai harus kembali ke pemilik lahannya atau kalau dia harus kembali ke pemerintah tetap dengan status hutan. Kemudian nanti siapa pengelolanya dan harga yang ekonomis seperti apa," kata Lana.

Kendala lainnya untuk pengembangan PLTS lahan bekas tambang yang ter-sambung dengan sistem kelistrikan PLN adalah belum adanya jaminan atas pengelolaan PLTS bagi pemilik lahan yang berminat mengembangkan PLTS.

"Ini memang kendala yang kami rasakan saat ini dengan delapan yang telah meng-ajukan. Barangkali nanti mungkin secara internal kami diskusikan dengan PLN," imbuh Lana. Editor : Andhika Anggoro Wening

During November Coal Rises

17%, Will It Go Up Again? Tirta Citradi, CNBC Indonesia

FOR the first time since the end of March, the price of the Newcastle thermal coal futures contract finally reached the psychological level of US$ 70/ton last Thursday (26/11/2020). However,...

Selama November Batu Bara

Naik 17%, Bakal Naik Lagi? Tirta Citradi, CNBC Indonesia

UNTUK pertama kalinya sejak akhir Maret lalu, harga kontrak futures batu bara termal Newcastle akhirnya sah menyentuh level psikologis US$ 70/ton pada Kamis pekan lalu (26/11/2020). Namun,...

Daily News Update Page 27

However, on the last trading day of last week, the contract price of coal reversed direction.

Friday (27/11/2020), the coal contract price which was actively traded fell 0.64% from the position of the previous day's closing trade. Prices, which are already rallying fast, are prone to correction because traders want to realize their profits (profit taking).

The price of coal has started to creep up since the second week of October. Even during the month of November the Newcastle coal contract price 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 clinical trial results of the three Covid-19 vaccine candidates Pfizer-BioNTech, Moderna and AstraZeneca put the market in risk on trading mode.

The prices of financial assets such as stocks and commodities that are sensitive to economic cycles, such as oil and coal, also rose. Meanwhile, the price of safe haven assets such as gold has collapsed.

The good news about the Covid-19 vaccine makes the market respond positively with joy. The increase in coal prices is also inseparable from improvements in fundamentals from both the demand and supply side.

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.

High imports from China and India succeeded in boosting the price of this commodity. Understandably,...

Namun di hari perdagangan terakhir minggu lalu, harga kontrak batu bara ber-balik arah.

Jumat (27/11/2020), harga kontrak batu bara yang aktif ditransaksikan ini melemah 0,64% dari posisi penutupan perdagangan sehari sebelumnya. Harga yang sudah reli kencang ini memang rawan terkoreksi karena para trader ingin merealisasikan keuntungannya (profit taking).

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 dar i perkembangan terbaru vaksin Covid-19. Hasil uji klinis tahap akhir yang menjanjikan ketiga kandidat vaksin Covid-19 Pfizer-BioNTech, Moderna dan AstraZenec a membuat pasar berada di mode trading risk on.

Harga aset-aset keuangan seperti saham hingga komoditas yang sensitif terhadap siklus perekonomian seperti minyak dan batu bara ikut terkerek naik. Sementara harga aset minim risiko (safe haven) seperti emas justru ambles.

Berita gembira soal vaksin Covid-19 mem-buat pasar merespons positif dengan sumringah. Kenaikan harga batu bara juga tak terlepas dari perbaikan fundamentalnya dari sisi permintaan maupun pasokan.

Dari sisi demand, meningkatnya permintaan 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 permintaan dan harga yang drop signifikan akibat lockdown.

Tingginya impor China dan India berhasil mendongkrak harga komoditas ini . Maklum,...

Daily News Update Page 28

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.

China said coal imports from Australia had failed to meet the environmental standards

set by the Chinese Ministry of Foreign Affairs, causing dozens of shipments to be

stuck 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.

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 29

Customs data shows China's coking coal imports from Australia slumped in October

to 1.53 million tonnes, or about 26% of total fuel imports, the share of the import

market slumping compared to 30% in September and 78% in March last year,

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). CNBC INDONESIA RESEARCH

TEAM (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 dibandingkan 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 ditanda-tangani antara APBI dan China Coal Transportation and Distribution pada hari Rabu pekan lalu (25/11/2020). TIM RISET CNBC INDONESIA (twg/twg)

China solves Freeport’s $3 billion problem in Indonesia Asia Times exclusive reveals that China's Tsingshan Steel has agreed to build a

government-mandated copper smelter

by John McBeth

THE LONG drawn-out saga of mining giant Freeport Indonesia’s (PTFI) proposed new

copper smelter has taken a new turn with China’s Tsingshan Steel agreeing to build the US$1.8 billion facility at its Weda Bay nickel processing complex in Halmahera, eastern Indonesia.

Maritime Affairs and Investment Coordinating Minister Luhut Panjaitan disclosed in an interview with Asia Times that the deal is expected to be signed before next March. “We are happy with the agreement,” he said, “but the two sides are still in detailed discussions.”

Up to now, the choices have been to either expand Mitsubishi’s existing copper smelter at Gresik, East Java, build a new and much more costly smelter at a nearby industrial estate or shift the whole project to Halmahera as part of an integrated smelting hub.

Panjaitan and other sources familiar with the deal say Tsingshan has agreed to complete the smelter within 18 months, leaving Freeport to build a $250 million extension to the Mitsubishi plant in what could be seen as a token gesture of its commitment to the in-country processing of all of its ore.

Daily News Update Page 30

Mitsubishi and Freeport signed an agreement on November 13 to add 300,000 tons to the current facility’s one million ton capacity, but the sources say Freeport is still ready, however reluctantly, to build a new smelter if the Tsingshan deal falls through.

The company is also committed to the construction of a precious metal refinery on the same site now that its export license has expired for so-called anode slime, the sediment rich in gold, silver, selenium and tellurium left over from the smelting process.

Confusion had reigned over the smelter issue for the past two years, with senior bureaucrats and politicians seemingly at variance on where it should be located. Once the Tsingshan deal is concluded, it will still need government approval.

As late as last week, Mines and Energy Minister Arifin Tasrif was continuing to dance around the subject. “The important thing for the government is that copper concentrate processing takes place in the country,” he said, without offering any further explanation.

Panjaitan has been the main proponent of the move to nickel-rich Halmahera, taking Freeport and the Indonesian mining community completely unawares last June by revealing that President Joko Widodo had already agreed to the plan.

He is also the prime mover behind a planned electric vehicle industry, with South Korea carmaker Hyundai as an initial $1.5 billion investor and LG Chemical interested in building a lithium battery plant on the same site near Jakarta.

With Tsingshan also planning to complete a lithium battery factory at Weda Bay by 2023, the new copper smelter will provide it with the sulphuric acid needed to produce low-grade ferronickel for the stainless steel market and also to recover cobalt from spent lithium batteries.

Indonesia has 80% of the elements needed for lithium battery production, including cobalt, manganese, aluminum and even rare earth elements. But on the horizon as well is a recycling plant at Halmahera that may eventually remove the need for new minerals in the production process.

Freeport’s copper will be a source of wiring and other parts for the home-grown electric car industry Panjaitan envisages. According to one expert estimate, battery electric vehicles use as much as 83 kilograms of copper, compared with 23 kilograms for an internal combustion engine.

Investment service Seeking Alpha said recently that the Indonesian subsidiary’s parent company, Freeport McMoRan Copper & Gold (FCX), has “a unique opportunity in a high copper priced world” to take advantage of the growing demand for electric vehicles.

If it goes ahead, as now seems likely, a deal with Tsingshan would save the Indonesian government and FCX about $3 billion, the estimated cost of building their own smelter at the Gresik Industrial Estate, north of the port city of Surabaya.

As the new majority owner of PTFI, the government is already having to pay for half of the cost of a major underground expansion at the Grasberg mine in Papua’s Central Highlands, the world’s largest gold reserve and second-biggest copper mine.

Regarded as one of the world’s most profitable mining operations, thanks to its rich gold deposits, the proven reserves at the high-altitude Grasberg contribute to about a third of FCX’s total portfolio, which also includes copper mines in the United States and Chile.

Daily News Update Page 31

Unlike nickel, copper refining is a notoriously marginal business when the final process of turning concentrate into copper cathode adds only 5% to the overall value. By some estimates, any new Gresik smelter would have lost $10 billion over the next 20 years.

Asia Times understands that Freeport has undertaken to pay treatment and refinement charges (TCs/RCs) to Tsingshan that are higher than the market price by an amount equal to the 5% export tax the company currently forks out for the half of its concentrate it currently exports to mainly Japan and Spain.

While that would serve as a subsidy to Tsingshan’s operating costs and the overall synergy appears compelling, financial experts still question the economic viability of building a copper smelter in a place as remote as Halmahera, a proposition Freeport would never have considered.

They say that dangling the export tax as a “subsidy” may be a clever idea, but even that may not produce a positive cash flow in the current environment. As one source put it: “Realistically, the only way to improve the economics is to cut the capital cost, which means no environmental controls.”

Transporting Freeport’s concentrate is not considered a major factor, but the distance between Freeport’s port at Timika on Papua’s south coast to the Halmahera site is only 2,660 kilometers, compared to the 4,000-kilometer passage to Gresik.

Tsingshan and French mining company Eramet began nickel smelting operations at the $2.2 billion Weda Bay Processing Park in April last year, adding to a pioneering multi-billion-dollar complex the Chinese group operates at Morawali on the east coast of Central Sulawesi.

Although the Gresik smelter has not attracted any ancillary industry over the past 20 years it has been in operation, Panjaitan is still confident of drawing overseas investors to Halmahera, particularly Chinese manufacturing companies anxious to move offshore.

China already has an iron grip on Indonesia’s nickel industry, inciting some controversy by bringing in thousands of its workers to construct the two processing centers in Central Sulawesi and now Halmahera.

At Sulawesi’s $7.8 billion Morowali complex, Tsingshan and Indonesian partner PT Bintang Delepan operate a three million ton a year nickel pig iron smelter, a 500,000-ton carbon steel facility and a 600,000-ton high-carbon ferrochrome plant.

Further down the coast, in Southeast Sulawesi, China’s Virtue Dragon Nickel Industry last year completed the $1.4 billion first stage of its three-phase Konawe complex, which will eventually boast a production capacity of three million tons of ferronickel a year.

President Widodo’s closest adviser on a range of subjects, Panjaitan has always treated the Freeport smelter as the ultimate test of the government’s resolve to add value to its minerals and vault the country in global supply chains.

Phoenix-based FCX has been reluctant to build a new smelter because of the high capital cost involved and the reality, which the government has always stoically ignored, that smelting has never been a profitable business at the best of times.

But circumstances may have changed with the government’s 2018 acquisition of a 51% stake in PTFI, in exchange for the extension to FCX’s contract, and the outbreak of the coronavirus pandemic that has put an additional strain on state finances.

Daily News Update Page 32

China's $2b coal deal with Indonesia may hit Australia

CHINA plans to buy about US$1.5 billion (S$2 billion) of coal from Indonesia after agreeing to a new three-year supply pact, a move that has the potential to further weaken trade ties with rival supplier Australia.

Indonesia will seek to raise coal exports to China from 2021 and aims to attract investment in the development of processing technology, according to the Indonesian Coal Mining Association, which on Wednesday signed a memorandum of understanding with the China Coal Transportation and Distribution Association.

Further discussions will take place over export volumes, according to the Indonesian association's statement.

The value of Indonesia's coal exports to China fell to US$4.9 billion between January and September on weaker demand, from US$5.8 billion in the same period in 2019, according to the statement.

The deal comes as relations between China and Australia deteriorate. China has blacklisted a range of Australian commodities as a diplomatic spat between Beijing and Canberra worsens.

Tensions between the two trading partners have intensified since Huawei Technologies was barred from building Australia's 5G network in 2018.

Chinese power stations and steel mills were told to stop using Australian coal and ports were instructed not to offload the fuel, Bloomberg News reported in October.

In another move that will unnerve Australian exporters, China will impose anti-dumping duties of more than 100 per cent on Australian wine from this weekend, the latest sign of deteriorating trade tensions between the two nations.

Newcrest grows Paterson Province presence Salomae Haselgrove

NEWCREST Mining has formed a joint venture with Greatland Gold at the Havieron gold-

copper project, 45 kilometres east of its Telfer gold mine in Western Australia’s Paterson Province.

The company is now entitled to earn an additional 20 per cent interest in the JV, making its total JV interest holding 60 per cent, having met the expenditure requirement of $US45 million ($60 million).

Under the newly formed JV agreement, Newcrest will provide Greatland Gold with a $US50 million loan to fund early works and drilling at Havieron.

Daily News Update Page 33

Newcrest will be able to earn up to 70 per cent interest in Havieron should it meet the spending requirement of $US65 million and deliver a pre-feasibility study.

The company has furthered its presence in the prospective Paterson province, creating a farm-in and JV agreement, named the Juri JV, for Greatland Gold’s Black Hills and Paterson Range East exploration licenses.

This agreement sees Newcrest granted an initial 25 per cent JV interest with the potential to increase this to up to 75 per cent by funding $20 million worth of exploration over a five year period.

Managing director and chief executive officer Sandeep Biswas said the company is excited to both expand its relationship with Greatland Gold and its activities within the Paterson Province.

“The Havieron JV and loan agreements support the continued progress at Havieron with the potential to deliver commercial production within two to three years from the commencement of the decline,” he said.

“The Juri JV complements our strong pipeline of exploration prospects and the associated tenements are favourably located in close proximity to our established Telfer operation.”

During the 2020 financial year, Newcrest produced 393,000 ounces of gold, 16,000 tonnes of copper and 164,000 ounces of silver at the Telfer operation.

Copper hits seven-year high as demand hopes build By: Bloomberg

COPPER rallied for a fourth day to reach a seven-year high, adding to this week’s powerful

surge across base metals on hopes for a post-pandemic demand boom.

The metal, which is used in everything from household wiring to electric vehicles, is gaining on optimism that the worst of the global economy’s coronavirus disruptions are over. The more bullish mood on demand coincides with falling global inventories that could leave the market short of supply heading into 2021.

“The market remains buoyed by fiscal stimulus measures across the world,” Australia & New Zealand Banking Group Ltd. analysts wrote in a note. Copper has risen about 70% since its March lows, amid the depths of the coronavirus crisis.

Copper rose as much as 1.5% to a seven-year high of $7 511 a ton, and was trading at $7 480 a ton by 12:31 p.m. London time. All other metals on the London Metal Exchange were higher.

The recent surge for metals has been powered by expectations that a coronavirus vaccine deployment next year will ease global economic pain, and mean China isn’t the only region driving demand growth. Dollar weakness has also helped. The metal is also gaining traction as a bet on hawkish climate policies that will expand copper-rich power networks.

Daily News Update Page 34

China’s rapid economic rebound has driven its imports to record levels this year, helping to offset lower demand in the rest of the world. The country’s latest factory gauge, due Monday, is expected to show activity in the top copper consumer continuing a steady expansion.

On Friday, data from the Shanghai Futures Exchange showed copper stockpiles in its warehouses falling to the lowest since late 2014.

Brazilian miners to tighten up tailings self-regulations Cecilia Jamasmie

BRAZILIAN mining regulator ANM announced that it will hold a public hearing on new

guidelines to tighten safety rules and inspections of mining dams.

The agency said suggestions obtained during the process, expected to last 45 days, will be used to outline the new standards.

Scrutiny around tailing dams safety has dramatically increased over the past two years, following Vale’s (NYSE: VALE) Brumadinho dam collapse that killed 270 people. It also triggered a global inquiry into the status of 726 tailing dams.

A similar accident in 2015 affected an iron ore mine operated by Samarco, a joint venture between BHP and Vale. The Fundão tailings dam burst became the worst environmental disaster in Brazil’s history.

Upstream dams were banned in February 2019 and companies were given deadlines to decommission dozens of similar structures in the country. At first, the NMA set until 2021 for companies to dissemble the dams.

In August 2019, the regulatory agency extended the deadline by almost six years, to 2022, 2025 and 2027, depending on the size of the structure.

Vale, the world’s largest iron ore producer, is still facing legal action over the deadly accident, including allegations that the miner was aware of the dam’s unstable condition years before the accident happened.

Global efforts

Following the accident, the International Council on Mining and Metals (ICMM), a London-

based industry group representing 27 major mining companies, formed an independent panel of experts to develop global standards for tailings facilities.

The Church of England, which invests in mining companies through its pensions for retired clergy, along with its partners, launched a global inquiry in April 2019 into the mining waste

storage systems of more than 700 resources companies.

It now asks companies to disclose data on tailings dams on a regular basis.

Daily News Update Page 35

Switzerland-based Responsible Mining Foundation (RMF) published a study in early April this year, showing that investor-led action had resulted in improved transparency regarding the state of such facilities.

The vast majority of miners, however, have yet to demonstrate they are reviewing how they effectively manage tailings-related risks.

Australian gold output declines Nickolas Zakharia

SURBITON Associates director Sandra Close believes Australia’s gold production in

2020 may surpass last year’s record results despite output dropping in the September quarter.

Gold output in the September 2020 quarter was 81 tonnes, marking a four-tonne decrease from the June 2020 quarter.

Surbiton Associates stated this was due to lower production at some of the largest gold mines in Australia.

However, the value of Australia’s output of mined gold has not been fazed by the lower production in the September quarter, Close said.

“Australian gold production was worth a little over $7 billion at the average Australian gold price for the three-month September quarter. That is equivalent to around $28 billion a year,” she said.

Close said the December quarter usually has the highest production of the year, which could see full year production be close to or surpass the 326-tonne record from 2019.

“For the January to September period in 2020, Australian gold production totalled around 244 tonnes,” she said.

“So output for the full 2020 year should be close to, or may even exceed, the record of 326 tonnes set in 2019. Often the December quarter has the highest production of the year.”

According to Close, the gold price average was $2680 per ounce in the September quarter with the Australian dollar averaging 73 US cents in the same period.

“The weighted average cash cost of production was less than half the average gold price, indicating that many gold producers have enjoyed healthy profit margins, Close said.

“However, because fewer ounces were produced, weighted average cash costs and all In sustaining costs (AISC) rose.”

Australia’s top producing mines for the September 2020 quarter were all down from their June 2020 quarter figures, including Newcrest Mining’s Cadia East operation in New South Wales at 196,504 ounces; Newmont’s Boddington mine in Western Australia at 178,000 ounces and Kirkland Lake Gold’s Fosterville mine in Victoria at 161,498 ounces.

Daily News Update Page 36

Close also flagged a shortage of mining industry workers in Western Australia due to border constraints.

“…There are plenty of job opportunities, whether it is in the trades, the professions or a wide range of support roles. For example, drilling contractors are flat out and having trouble getting staff such as drillers and particularly drillers’ off-siders,” she said.

Highest-grade underground gold mines in Q1 2020 By Vladimir Basov

KIRKLAND Lake's Fosterville gold mine in Australia was the highest-grade gold mine in the

world (based on gold grade in milled ore) in Q 2020. Five out of the top ten highest-grade gold mines are in Canada.

The grade or concentration of a mineral or metal in ore directly affects costs associated with

mining as well as its subsequent beneficiation and extraction of precious components.

Mines and Metals ranked currently active gold operations throughout the world based on gold grade in a tonne of milled ore. We looked at operations that are separate reporting units

and which have Q1 2020 gold grade figures disclosed by the owners/operators.

For more accurate basis of comparison, gold operations have been split into underground and

open-pit, since these mining methods utilize different techniques/equipment and it does make sense to identify "the best in the breed" gold operations within one mining category,

first.

Here is the list of the world's top ten underground gold operations ranked by the gold grade in a tonne of milled ore.

With 42.4 g/t of gold in milled ore, Kirkland Lake's Fosterville mine in Australia was both the

world's highest-grade and lowest cost gold mine in Q1 2020.

Hecla's Nevada Operations in the United States sit second with 35.9 g/t of gold achieved

during Q1 2020.

Another Kirkland Lake's Macassa mine in Canada is third (19.7 g/t), followed by Gran Colombia's Segovia Operations in Colombia (14.9 g/t) and Wesdome's Eagle River mine in

Canada (14 g/t).

The complete list is below.

Highest-grade underground gold mines in the world. Source: Mines and Metals.

Daily News Update Page 37