TABLE OF CONTENTS. No. Title Media Source Page

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Daily News Update Page 1

In addition to PTBA, PT Adaro Energy Tbk (ADRO) through PT Adaro Power is also actively exploring coal do wnstream projects. As previously reported by Kontan.co.id, Adaro is in the Pre-Feasibility Study (FS) stage to work on a coal downstream project in the form of gasification to produce methanol (coal to methanol).

President Director of PT Adaro Power, Dharma Djojonegoro said, currently Adaro Power is still carrying out downstream project studies in accordance with the provisions of the law. "Currently it is still in the pre-FS stage and discussions with various stakeholders," he explained when contacted separately.

Dharma said downstreaming is part of Adaro Power's commitment to support the government and in accordance with President Jokowi's direction to always create added value.

Previously, Dharma explained that the coal gasification plant requires land for the project location, electricity supply, access to clean water, and coal supply which will go through the gasification process into value-added products such as methanol and Dimethyl Ether (DME).

"Baik PLTU Sumsel 8 maupun gasifikasi DME masih berjalan sesuai target, untuk PLTU Sumsel 8 bahkan telah mencapai 90% per-Agustus 2021 dan akan beroperasi di tahun 2022," jelasnya kepada Kontan.co.id, Jumat (15/10).

Sebagai informasi, proyek PLTU mulut tambang Sumsel yang bernilai US$ 1,68 miliar ini sudah menggunakan teknologi ramah lingkungan yang menghasilkan emisi karbon yang kecil. Sehingga, sejauh ini PTBA tidak memiliki rencana untuk melengkapi PLTU Sumsel-8 dengan fasilitas carbon capture.

Selain PTBA, PT Adaro Energy Tbk (ADRO) melalui PT Adaro Power juga tetap gencar menjajaki proyek hilirisasi batubara.

Melansir catatan Kontan.co.id sebelumnya, Adaro sedang dalam tahap Pra-Feasibility Study (FS) untuk menggarap proyek hilirisasi batubara dalam bentuk gasifikasi untuk memproduksi methanol (coal to methanol).

Presiden Direktur PT Adaro Power, Dharma Djojonegoro mengatakan, saat ini Adaro Power tetap menjalankan kajian proyek hilirisasi sesuai dengan ketentuan undang-undang. "Saat ini masih dalam tahap pre-FS dan diskusi dengan berbagai stakeholders," jelasnya saat dihubungi ter- pisah.

Dharma bilang, hilirisasi merupakan bagian dari komitmen Adaro Power untuk mendukung pemerintah dan sesuai arahan Presiden Jokowi untuk senantiasa men- ciptakan nilai tambah.

Sebelumnya Dharma memaparkan, pabrik gasifikasi batubara membutuhkan lahan untuk lokasi proyek, pasokan listrik, akses terhadap air bersih, dan pasokan batubara yang akan melalui proses gasifikasi menjadi produk bernilai tambah seperti methanol dan Dimethyl Ether (DME).

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He said, the Adaro Group, through its various business pillars, has the necessary capabilities and will collaborate to build a coal gasification plant in the Adaro mining area in the Tanjung Tabalong area, South Kalimantan.

Then, to build a coal gasification plant requires a large investment even Dharma projects up to billions of dollars. Of course, from the investor's point of view, they want a scheme that can make them profitable.

But unfortunately, currently the use of DME still faces many challenges and solutions must be found. One of the challenges is the economics of DME compared to LPG. In addition, regarding the conversion of cylinders from LPG to DME, what needs to be done.

Dia bilang, Adaro Group melalui berbagai pilar bisnis di dalamnya, memiliki kapabilitas yang dibutuhkan dan akan berkolaborasi untuk membangun pabrik gasifikasi batubara di area tambang Adaro di wilayah Tanjung Tabalong, Kalimantan Selatan.

Lantas, untuk membangun pabrik gasifikasi batubara diperlukan investasi yang besar bahkan Dharma memproyeksikan hingga miliaran dolar. Tentu dari sisi investor, menginginkan suatu skema yang bisa membuat mereka untung.

Namun sayang, saat ini pemanfaatan DME masih menghadapi banyak tantangan dan harus dicari solusinya. Salah satu tantangan- nya ialah keekonomian DME dibandingkan dengan LPG. Selain itu, perihal konversi tabung dari LPG ke DME, apa saja yang perlu dilakukan.

Coal Prices Drop 7%, but Energy Crisis Continues...

Tri Putra, CNBC Indonesia

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HERMAL Newcastle's global benchmark coal price closed down 6.91 percent to US$

241.35/ton. The downward trend that occurred this week was caused by the sharp increase in coal prices, which triggered profit taking for traders in the futures stock or profit taking.

So far this week, Newcastle coal prices traded at a low of US$ 225.92/ton and a high of US$ 260/ton. However, in early October the price of coal touched its highest level of all time at US$ 280/ton.

One of the triggers for the increase in coal prices is the energy crisis that hit various countries, from the US, Europe, to Asia.

Harga Batu Bara Anjlok 7%, tapi Krisis Energi Masih Lanjut...

Tri Putra, CNBC Indonesia

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ARGA batu bara acuan global Thermal Newcastle ditutup melemah 6,91% ke level US$

241,35/ton. Tren penurunan yang terjadi di minggu ini disebabkan karena harga batu bara yang sudah naik tajam sehingga memicu aksi ambil untung para trader di bursa berjangka (futures stock) atau profit taking.

Di sepanjang pekan ini, harga batu bara Newcastle diperdagangkan di rentang terendah US$ 225,92/ton dan level tertingginya US$

260/ton. Namun di awal Oktober harga batu bara sempat menyentuh ke level tertingginya di sepanjang masa di level US$ 280/ton.

Salah satu pemicu kenaikan harga batu bara adalah krisis energi yang melanda berbagai negara, mulai dari AS, Eropa, hingga Asia.

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Coal is widely used for power generation in various countries. However, in developed countries, energy mix policies that are more environmentally friendly have reduced the portion of coal use and shifted to natural gas.

Unfortunately, the high price of natural gas has forced utility companies, especially power plants, to switch to using coal again.

An increase in demand for coal makes the price go up too.

Toby Hassall, Analyst at Refinitiv, believes that the sharp increase in natural gas prices has supported the rise in coal prices.

Last Saturday, natural gas prices at Henry Hub (Oklahoma, United States) soared 2.78%. Since the end of 2020 (year-to- date), prices have skyrocketed by 122.92%.

When the price of natural gas rises, the cost of generating electricity with primary energy sources from this commodity will be more expensive. In Europe, the cost of generating electricity with natural gas on 12 October 2021 is EUR 85.22/MWh.

Meanwhile with coal it is EUR 54.76/MWh.

The upward trend in world coal prices tends to benefit Indonesia as one of the largest global coal producers and exporters. Based on data from the Central Statistics Agency (BPS), exports of mineral fuels, which include coal, in the January - September 2021 period were recorded at US$ 21.54 billion or equivalent to 13.85%

of total non-oil exports.

The increase in world coal prices also triggered an increase in the Reference Coal Price (HBA). The Ministry of Energy and Mineral Resources (MEMR) has set the HBA for October 2021 at US$ 161.63/ton.

This month's HBA is up US$ 11.6/ton compared to September 2021.

Batu bara banyak dimanfaatkan untuk pembangkit listrik di berbagai negara.

Namun, di negara-negara maju kebijakan bauran energi yang lebih ramah lingkungan membuat porsi penggunaan batubara mulai dikurangi dan dialihkan ke gas alam.

Namun sayangnya, harga gas alam yang sudah terbang tinggi membuat perusahaan utilitas terutama pembangkit listrik kembali beralih menggunakan batu bara.

Adanya kenaikan permintaan terhadap batubara membuat harganya ikut melesat.

Toby Hassall, Analis Refinitiv, menilai kenaikan harga gas alam yang begitu tajam mendukung lesatan harga batu bara.

Sabtu kemarin, harga gas alam di Henry Hub (Oklahoma, Amerika Serikat) melejit 2,78% Sejak akhir 2020 (year-to-date), harga meroket 122,92%.

Saat harga gas alam naik, maka biaya pembangkitan listrik dengan sumber energi primer dari komoditas ini semakin mahal. Di Eropa, biaya pembangkitan listrik dengan gas alam pada 12 Oktober 2021 adalah EUR 85,22/MWh. Sementara dengan batubara adalah EUR 54,76/MWh.

Tren kenaikan harga batu bara dunia cenderung menguntungkan Indonesia sebagai salah satu produsen dan eksportir batu bara terbesar global. Berdasarkan data Badan Pusat Statistik (BPS), ekspor bahan bakar mineral yang termasuk di dalamnya ada batu bara, pada periode Januari - September 2021 tercatat sebesar US$ 21,54 miliar atau setara dengan 13,85% dari total ekspor non migas.

Kenaikan harga batu bara dunia juga memicu naiknya Harga Batubara Acuan (HBA). Kementerian Energi dan Sumber Daya Mineral (ESDM), menetapkan HBA untuk Oktober 2021 sebesar US$ 161,63/

ton. HBA bulan ini naik US$ 11,6/ton dibandingkan bulan September 2021.

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The Head of the Communication Bureau for public information services and cooperation at the Ministry of EMR, Agung Pribadi, explained that the increase in HBA was influenced by the increasing demand in China.

China, as the world's largest coal consumer, is currently experiencing a supply crisis, at a time when its economy is improving which has pushed demand for electricity to increase. Moreover, towards the end of the year, the winter period will historically increase demand from the Panda Country.

In China, the benchmark Qinhuangdao coal price on the spot market rose 8.9% to RMB 1835/ton. This is evidence that the global supply crisis has brought together global coal prices. CNBC INDONESIA RESEARCH TEAM (tas/tas)

Kepala Biro Komunikasi layanan informasi publik dan kerjasama Kementerian ESDM, Agung Pribadi, menjelaskan kenaikan HBA dipengaruhi permintaan yang terus meningkat di Cina.

Cina, sebagai konsumen batu bara terbesar di dunia memang sedang mengalami krisis pasokan, di saat ekonominya membaik yang mendorong permintaan terhadap listrik meningkat. Apalagi, jelang akhir tahun masuk periode musim dingin secara historis akan meningkatkan permintaan dari Negeri Panda.

Di Cina, harga batu bara acuan Qinhuangdao di pasar spot naik 8,9% ke level RMB 1835/ton. Ini menjadi bukti bahwa krisis pasokan global kompak mengerek harga batu bara dunia. TIM RISET CNBC INDONESIA (tas/tas)

Commodity prices rise, United Tractors (UNTR) prepares bigger

capex in 2022

Reporter: Ika Puspitasari | Editor: Herlina Kartika Dewi

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T UNITED Tractors Tbk (UNTR) estimates that next year's capital expenditure could be thicker than the budget in 2021.

Sara K. Loebis, Corporate Secretary of PT United Tractors Tbk explained, if commodity prices are still in a positive trend, then it is possible that UNTR's capital expenditure in 2022 will be greater than this year.

"Most of next year's capex will be used to replace obsolete heavy equipment," she explained, Friday (15/10).

Harga komoditas naik, United Tractors (UNTR) siapkan capex

lebih besar di 2022

Reporter: Ika Puspitasari | Editor: Herlina Kartika Dewi

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T UNITED Tractors Tbk (UNTR) mem- perkirakan belanja modal tahun depan bisa lebih tebal ketimbang anggaran pada 2021.

Sara K. Loebis, Sekretaris Perusahaan PT United Tractors Tbk menjelaskan, jika harga komoditas masih berada dalam tren positif, maka tak menutup kemungkinan belanja modal UNTR pada 2022 akan lebih besar dari tahun ini.

"Sebagian besar capex tahun depan akan digunakan untuk penggantian alat berat yang sudah usang," terangnya, Jumat (15/10).

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Unfortunately, Sara has not been able to reveal more details regarding the capital expenditure plan. According to him, the calculation of the amount of next year's capital expenditure is still in the review process.

For information, UNTR has budgeted a capex of US$ 290 million for 2021, this value is higher than last year's UNTR capex which was only US$ 190 million.

Meanwhile, its parent company PT Astra International Tbk (ASII) has budgeted a capital expenditure of Rp 11-Rp 12 trillion in 2021 or 50% higher than the achieve- ment of capital expenditure in 2020.

Head of Investor Relations of Astra Inter- national Tira Ardianti said ASII's capital expenditure until June 2021 reached Rp 3.7 trillion, most of which was intended for the replacement of PT Pamapersada Nusantara (Pama) heavy equipment, a subsidiary of the United Tractors group.

Tira also cannot mention ASII's capital expenditure figures for next year. Astra will only announce its capital expenditure plan in early 2022.

She further explained that the size of the capital expenditure plan is based on various factors, including economic conditions in Indonesia. What is clear is that most of Astra's capital expenditures are used to replace heavy equipment in the UT group.

"In addition, Astra also continues to explore existing business opportunities, including green investment and investment in the new economy," added Tira.

In the future, he hopes that domestic pandemic handling conditions will continue to improve, the vaccine program will soon reach the desired herd immunity target, so that economic recovery can continue and have a positive effect on ASII's performance.

Sayangnya, Sara belum bisa membeberkan lebih detail terkait rencana belanja modal tersebut. Menurutnya, p erhitungan besaran belanja modal tahun depan saat ini masih dalam proses review.

Sebagai informasi, UNTR menganggarkan capex US$ 290 juta untuk 2021, nilai tersebut lebih tinggi dari capex UNTR tahun lalu yang hanya US$ 190 juta.

Sementara itu, induk usahanya PT Astra International Tbk (ASII) menganggarkan belanja modal Rp 11-Rp 12 triliun pada 2021 atau 50% lebih tinggi dibandingkan pencapaian belanja modal pada tahun 2020.

Head of Investor Relations Astra Inter- national Tira Ardianti menuturkan, belanja modal ASII hingga Juni 2021 mencapai Rp 3,7 triliun, yang sebagian besar ditujukan untuk pergantian alat berat PT Pama- persada Nusantara (Pama) anak usaha grup United Tractors.

Tira juga belum dapat menyebutkan angka belanja modal ASII untuk tahun depan.

Astra baru akan mengumumkan rencana belanja modal pada awal tahun 2022 mendatang.

Lebih lanjut ia menjelaskan, besar kecilnya rencana belanja modal melihat berbagai faktor, termasuk kondisi ekonomi di Indonesia. Yang jelas, sebagian besar belanja modal Astra digunakan untuk pergantian alat berat di grup UT.

"Selain itu, Astra juga senantiasa meng- eksplorasi kesempatan-kesempatan bisnis yang ada, termasuk green investment dan investasi di new economy," tambah Tira.

Ke depannya, ia berharap kondisi penanganan pandemi di dalam negeri akan terus membaik, program vaksin segera mencapai target herd immunity yang diinginkan, sehingga pemu- lihan ekonomi dapat terus berlangsung dan memberikan efek positif untuk kinerja ASII.

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Thanks to the Energy Crisis of Europe and China, Indonesia's Mine Exports Soared by 183.5

Percent

Maulandy Rizki Bayu Kencana

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HE EUROPEAN Union and several countries such as China and India are currently facing an energy crisis. These countries are considered too progressive in welcoming the transition trend of renewable rock energy (EBT), which makes natural gas prices soar.

As a result, countries such as the UK withdrew from saying they wanted to eliminate the use of mining products such as coal, and started to use them again due to an increase in natural gas prices. This situation seems to benefit Indonesia, which is known to have large natural resources in the mining sector, such as coal and so on.

The Central Statistics Agency (BPS) reported that commodity exports from the mining sector in September 2021 jumped to 183.5 percent year on year or 3.4 percent monthly (month to month) to USD 3.77 billion.

"The biggest commodity is coal with a share of 70.3 percent, and the growth is 168 percent," said Head of BPS Margo Yuwono in a teleconference session, Friday (15/10/2021).

Export Growth

Margo continued, other mining commodities besides coal that experienced the highest export growth were copper ore products with 166.2 percent growth, and lignids which skyrocketed 904.9 percent.

Berkah Krisis Energi Eropa dan China, Ekspor Tambang Indonesia Meroket 183,5

Persen

Maulandy Rizki Bayu Kencana

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NI Eropa dan beberapa negara seperti China dan India kini tengah berhadapan dengan krisis energi. Negara-negara tersebut dinilai terlalu progresif dalam menyambut tren transisi energi batu terbarukan (EBT), yang membuat harga gas alam melambung.

Akibatnya, negara seperti Inggris menarik ucapan ingin menghilangkan penggunaan hasil tambang seperti batu bara, dan mulai kembali memakainya akibat ada kenaikan harga gas alam.

Situasi ini rupanya turut menguntungkan Indonesia, yang dikenal memiliki sumber daya alam di sektor pertambangan yang besar, seperti batu bara dan sebagainya.

Badan Pusat Statistik (BPS) melaporkan, ekspor komoditas dari sektor pertambangan pada September 2021 melonjak hingga 183,5 persen secara tahunan (year on year) atau 3,4 persen secara bulanan (month to month) menjadi USD 3,77 miliar.

"Komoditas terbesar adalah batu bara dengan share 70,3 persen, dan pertum- buhannya 168 persen," jelas Kepala BPS Margo Yuwono dalam sesi teleconference, Jumat (15/10/2021).

Pertumbuhan Ekspor

Margo melanjutkan, komoditas tambang lain di luar batu bara yang alami pertumbuhan ekspor tertinggi yakni produk biji tembaga dengan pertumbuhan 166,2 persen, dan lignid yang meroket 904,9 persen.

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In addition to the mining sector, exports of the manufacturing industry also rose 34.9 percent on an annual basis to USD 15.51 billion. Commodities with the largest increases included iron and steel at 87.4 percent, palm oil at 58 percent, and basic organic chemical products at 91.8 percent.

Selain sektor tambang, ekspor industri pengolahan juga naik 34,9 persen secara tahunan menjadi USD 15,51 miliar.

Komoditas dengan kenaikan terbesar antara lain besi dan baja sebesar 87,4 persen, minyak kelapa sawit 58 persen, dan produk kimia dasar organik 91,8 persen.

PT Timah Collaborates with Mosque to Green Ex-Mining Land

Editor: Fuji Pratiwi

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T TIMAH Tbk cooperated with the Darussalam Mosque management in Pangen Village, West Bangka Regency, Bangka Belitung Islands Province to plant oil palm on ex-tin mining land in the operational area of PT Timah Tbk.

"PT Timah Tbk continues to be committed to dealing with ex-mining land by optimizing reclamation by empowering the community,"

said Head of Public Relations of PT Timah Tbk Anggie Sihaan in Pangkalpinang, Sunday (17/10).

He said, currently the former mining area of four hectares of Pangen Village has looked green again after being reclaimed by PT Timah Tbk in collaboration with the adminis- trators of the Darussalam Mosque in Pangen Village. In addition to planting oil palm, PT Timah Tbk also planted sengon trees. Both plants thrive thanks to the collaboration between PT Timah and the local community.

Currently, the oil palm planted by residents has now been bearing fruit and has become a source of income for the Darussalam Mosque.

"In carrying out this reclamation, we are indeed empowering the community so that it can encourage the economic improvement of the residents in the vicinity," he said.

PT Timah Gandeng Masjid Hijaukan Lahan Bekas Tambang

Redaksi: Fuji Pratiwi

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T TIMAH Tbk menggandeng pengurus Masjid Darussalam di Desa Pangen Kabu- paten Bangka Barat Provinsi Kepulauan Bangka Belitung menanam sawit di lahan bekas tambang timah di wilayah operasi- onal PT Timah Tbk.

"PT Timah Tbk terus berkomitmen dalam menangani lahan bekas tambang dengan mengoptimalkan reklamasi dengan memberdayakan masyarakat," kata Kabid Humas Perusahaan PT Timah Tbk Anggie Sihaan di Pangkalpinang, Ahad (17/10).

Ia mengatakan, saat ini lahan bekas tambang seluas empat hektare Desa Pangen ini sudah terlihat hijau kembali setelah direklamasi PT Timah Tbk yang bekerja sama dengan pengurus Masjid Darussalam Desa Pangen.

Selain menanami sawit, PT Timah Tbk juga menanam pohon sengon. Kedua tanaman itu tumbuh subur berkat kolaborasi antara PT Timah dan masyarakat setempat.

Saat ini sawit yang ditanam warga kini telah berbuah dan menjadi sumber pendapatan Masjid Darussalam. "Dalam melaksanakan reklamasi ini, kita memang memberdayakan masyarakat sehingga dapat mendorong peningkatan ekonomi warga di sekitarnya,"

katanya.

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The chairman of the Darussalam Mosque, Pangek Village, H Markan, said that the success of planting oil palm on the ex- mining land could not be separated from the support of PT Timah. Markan explained that starting from the reclamation activities carried out by PT Timah on ex- mining land there, the madjid management took the initiative to use the ex-mining land and proposed to PT Timah to open a mosque garden, by planting oil palm.

"When it comes to harvesting, it is to add facilities and infrastructure for the convenience of the mosque congregation,"

said Markan.

According to him, after a few months, the four hectares of land planted with oil palm flourished and began to bear fruit. From the first harvest, Markan admitted that he had provided income for the mosque's treasury and absorbed four workers.

"Alhamdulillah, the results can support activities at the mosque, both infrastructure facilities, incentives for marbots, social activities and providing death benefits. In addition, this oil palm plantation has now employed three residents to carry out maintenance until harvesting," said Markan.

Ketua Masjid Darussalam Desa Pangek H Markan mengatakan, kesuksessan pena- naman sawit di lahan bekas tambang ini tak lepas dari dukungan PT Timah. Markan menjelaskan, berawal dari kegiatan reklamasi yang dilakukan PT Timah di lahan bekas tambang di sana, pengurus madjid berinisiatif memanfaatkan lahan bekas tambang dan mengusulkan kepada PT Timah membuka kebun masjid, dengan menanam sawit.

"Bila nanti panen untuk menambah sarana dan prasarana untuk kenyamanan jamaah masjid," kata Markan.

Menurut dia, selang beberapa bulan, lahan seluas empat hektar yang ditanam sawit tumbuh subur dan mulai berbuah. Dari panen pertama Markan mengakui telah memberikan pendapatan untuk kas masjid dan menyerap empat tenaga kerja.

"Alhamdulillah hasilnya dapat menunjang kegiatan di masjid, baik sarana prasarana, insentif marbot, kegiatan sosial dan memberikan santunan kematian. Selain itu kini kebun sawit ini telah memperkerjakan tiga orang warga untuk melakukan perawatan sampai memanen," ucap Markan.

Coal prices soar, downstreaming continues

Reporter: Filemon Agung | Editor: Tendi Mahadi

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HE INCREASE in coal prices that has continued in recent times has not made efforts to downstream a number of mining companies to be neglected.

Harga batubara melonjak, hilirisasi terus berjalan

Reporter: Filemon Agung | Editor: Tendi Mahadi

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ENAIKAN harga batubara yang terus terjadi dalam beberapa waktu terakhir tak membuat upaya hilirisasi sejumlah perusahaan tambang terabaikan.

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Director and Corporate Secretary of PT Bumi Resources Tbk (BUMI) Dileep Srivastava revealed that until now there has been no change in plans for downstream projects being worked on by BUMI.

"PT Kaltim Prima Coal plans a gasification project (for) commissioning in 2024 and (downstream) for Arutmin in the final feasibility stage, possibly commissioning in 2025," said Dileep to Kontan, Sunday (17/10).

Dileep also ensured that his party continued to develop the project optimally.

Kontan noted that BUMI through its subsidiary PT Kaltim Prima Coal (KPC) is working on the construction of a coal-to- methanol processing facility in Bengalon, East Kalimantan. In this project, BUMI as part of the Bakrie Group collaborates with Ithaca Group and Air Product.

KPC will act as a coal supplier for the gasification facility. The coal requirement that must be provided by KPC for the gasification project in Bengalon is around 5 million tons-6.5 million tons per year with a GAR quality of 4,200 kcal/kg. When operational, the plant can produce 1.8 million tonnes per year of methanol.

In addition, BUMI also has a coal-to- methanol gasification project implemented by another subsidiary, PT Arutmin Indonesia. The methanol plant is located at IBT Terminal, Pulau Laut, South Kalimantan.

Just so you know, the coal needed to produce methanol there reaches 6 million tons per year with a GAR quality of 3,700 kcal/kg. This methanol plant will be able to produce 2.8 million tons of methanol per year.

Direktur dan Sekretaris Perusahan PT Bumi Resources Tbk (BUMI) Dileep Srivastava mengungkapkan hingga saat ini belum ada perubahan rencana untuk proyek-proyek hilirisasi yang digarap BUMI.

"PT Kaltim Prima Coal merencanakan proyek gasifikasi (akan) commissioning pada 2024 dan (hilirisasi) Arutmin dalam tahapan final feasibility kemungkinan commisioning 2025," kata Dileep kepada Kontan, Minggu (17/10).

Dileep pun memastikan, pihaknya terus berupaya mengembangkan proyek secara optimal.

Kontan mencatat, BUMI melalui anak usahanya PT Kaltim Prima Coal (KPC) menggarap pembangunan fasilitas pengolahan batubara menjadi metanol di Bengalon, Kalimantan Timur. Di proyek tersebut, BUMI selaku bagian dari Grup Bakrie berkolaborasi dengan Ithaca Group dan Air Product.

KPC akan berperan sebagai pemasok batubara untuk fasilitas gasifikasi tersebut.

kebutuhan batubara yang mesti disediakan oleh KPC untuk proyek gasifikasi di Bengalon sekitar 5 juta ton-6,5 juta ton per tahun dengan kualitas GAR 4.200 kcal/kg.

Ketika beroperasi, pabrik tersebut dapat menghasilkan 1,8 juta ton per tahun metanol.

Selain itu, BUMI juga memiliki proyek gasifikasi batubara menjadi metanol yang dilaksanakan oleh anak usaha lainnya, PT Arutmin Indonesia. Pabrik metanol tersebut berlokasi di IBT Terminal, Pulau Laut, Kalimantan Selatan.

Asal tahu saja, batubara yang dibutuhkan untuk memproduksi metanol di sana mencapai 6 juta ton per tahun dengan kualitas GAR 3.700 kcal/kg. Pabrik metanol ini nantinya dapat menghasilkan metanol sebanyak 2,8 juta ton per tahun.

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Quoting Kontan's news, coal downstreaming was also carried out by PT Indika Energy Tbk (INDY) where the company signed a memorandum of understanding for the strategic cooperation of coal gasification with PT Pertamina at the end of last year.

INDY's management is currently promoting business diversification as the company's long-term plan.

Mengutip pemberitaan Kontan, hilirisasi batubara juga dilakukan PT Indika Energy Tbk (INDY) dimana perusahaan telah meneken nota kesepahaman kerjasama strategis gasifikasi batubara dengan PT Pertamina pada akhir tahun lalu.

Manajemen INDY memang kini tengah menggenjot diversifikasi bisnis sebagai rencana jangka panjang perusahaan.

Energy Crisis Everywhere, Global Coal Prices Soar 276%

Dinar Fitra Maghiszha

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LOBAL coal prices have continued to increase significantly in the past year due to the world energy crisis. Based on ICE Newscastle's reference price for the October 2021 contract at the close, Friday (15/10/

2021) it broke USD240/ton corrected (- 2.04%), but strengthened in the week (0.59%) and is still in its peak area, skyrocketed 276.77% since October 15 last year.

Meanwhile for the November 2021 contract price, it was recorded at USD241.35/ton, depressed (-4.89%), but still strengthening for a week (6.91%), and soaring 277.40%, effective since October 15, 2020. The strong price The world's coal also raised domestic prices. The reference coal price (HBA) according to the Ministry of Energy and Mineral Resources (MEMR) for the October 2021 period reached USD161.63/ton, a sharp increase from the October 2020 HBA which was still at USD 51/ton.

As is known, the increase in coal prices is influenced by global demand, especially China, which is currently being hit by an energy crisis.

Krisis Energi Dimana-mana, Harga Batubara Global Meroket 276%

Dinar Fitra Maghiszha

H

ARGA batu bara global terus mengalami peningkatan signifikan dalam kurun waktu setahun terakhir dipicu krisis energi dunia.

Berdasarkan harga acuan ICE Newscastle untuk kontrak Oktober 2021 pada penu- tupan, Jumat (15/10/2021) menembus USD240/ton terkoreksi (-2,04%), tetapi menguat dalam sepekan (0,59%) dan masih berada di area puncaknya, meroket 276,77%

sejak 15 Oktober tahun kemarin.

Sementara untuk harga kontrak November 2021, tercatat sebesar USD241,35/ton, ter- tekan (-4,89%), tetapi masih menguat sepekan (6,91%), dan melambung 277,40%, efektif sejak 15 Oktober 2020. Kuatnya harga batu bara dunia turut mengerek harga dalam negeri. Harga batu bara acuan (HBA) menurut Kementerian Energi dan Sumber Daya Mineral (ESDM) untuk periode Oktober 2021 mencapai USD161,63/ton, naik tajam dari HBA Oktober 2020 yang saat itu masih sebesar USD 51/ton.

Seperti diketahui, kenaikan harga batu bara dipengaruhi oleh permintaan global, terutama China yang saat ini tengah dilanda krisis energi.

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"The increase in HBA in October 2021 was due to the increasing demand in China where currently the demand for coal is increasing for power generation purposes which exceeds the domestic coal supply capacity. In addition, the increasing demand for coal from South Korea and the European region is in line with the high demand for coal. natural gas prices," said the Head of the Communications Bureau for Public Information Services and Cooperation at the Ministry of EMR, Agung Pribadi in Jakarta, Tuesday (5/10/2021).

For information, HBA is the price obtained from the average of Indonesia Coal Index (ICI), Newcastle Export Index (NEX), Globalcoal Newcastle Index (GCNC), and Platt's 5900 in the previous month, with quality equivalent to 6322 kcal/kg calories.

GAR, Total Moisture 8%, Total Sulfur 0.8%, and Ash 15%.

There are two derivative factors that affect the movement of HBA, namely, supply and demand. In terms of supply derivatives, it is influenced by season (weather), mining techniques, supplier country policies, to supply chain technicalities such as trains, barges, and loading terminals.

Meanwhile, the demand derivative factor is influenced by declining electricity demand, which correlates with industrial conditions, import policies, and competition with other energy commodities, such as LNG, nuclear, and hydro. Later, this October HBA will be used to determine the price of coal at the point of delivery on a Free on Board basis on a transport vessel (FOB Vessel). (nng)

"Kenaikan HBA bulan Oktober 2021 disebabkan oleh permintaan yang terus meningkat di China di mana saat ini kebutuhan batu bara meningkat untuk keperluan pembangkit listrik yang melam- paui kapasitas pasokan batu bara domestik. Selain itu juga meningkatnya permintaan batu bara dari Korea Selatan dan kawasan Eropa seiring dengan tinggi- nya harga gas alam," ungkap Kepala Biro Komunikasi Layanan Informasi Publik dan Kerja Sama Kementerian ESDM, Agung Pribadi di Jakarta, Selasa (5/10/2021).

Sebagai informasi, HBA adalah harga yang diperoleh dari rata-rata Indonesia Coal Index (ICI), Newcastle Export Index (NEX), Globalcoal Newcastle Index (GCNC), dan Platt's 5900 pada bulan sebelumnya, dengan kualitas yang disetarakan pada kalori 6322 kcal/kg GAR, Total Moisture 8%, Total Sulphur 0,8%, dan Ash 15%.

Terdapat dua faktor turunan yang me- mengaruhi pergerakan HBA yaitu, supply dan demand. Pada faktor turunan supply dipengaruhi oleh season (cuaca), teknis tambang, kebijakan negara supplier, hingga teknis di supply chain seperti kereta, tongkang, maupun loading terminal.

Sementara untuk faktor turunan demand dipengaruhi oleh kebutuhan listrik yang turun berkorelasi dengan kondisi industri, kebijakan impor, dan kompetisi dengan komoditas energi lain, seperti LNG, nuklir, dan hidro. Nantinya, HBA bulan Oktober ini akan dipergunakan pada penentuan harga batubara pada titik serah penjualan secara Free on Board di atas kapal pengangkut (FOB Vessel). (nng)

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Orica addresses Scope 1, 2 and 3 emissions in latest GHG reduction pledge

Posted by Daniel Gleeson

O

RICA has announced its ambition to achieve net zero emissions by 2050, covering Scope 1 and 2 greenhouse gas (GHG) emissions and its most “material” Scope 3 GHG emission sources.

The ambition builds on Orica’s previously announced medium-term target to reduce Scope 1 and 2 operational emissions by at least 40% by 2030.

To advance its net zero emissions ambition, Orica says it will:

 Continue to reduce its operational footprint: prioritising Scope 1 and 2 operational emissions reductions by deploying tertiary catalyst abatement technology, sourcing renewable energy and optimising energy efficiency and industrial processes;

 Collaborate with its suppliers: as new and emerging technologies scale and become commercial, partner with suppliers to source lower emissions intensity ammonium nitrate (AN) and ammonia to reduce Orica’s Scope 3 emissions, which account for approximately 70% of Orica’s total Scope 3 emissions;

 Prioritise lower carbon solutions: developing lower carbon AN, as well as new products, services and technology offerings to help customers achieve their own sustainability goals;

and

 Report progress: transparently disclose performance consistent with the recommendations of the Task Force on Climate-Related Financial Disclosure.

Orica Managing Director and Chief Executive Officer, Sanjeev Gandhi, said: “Our ambition of net zero emissions by 2050 shows our commitment to playing a part in achieving the goals of the Paris Agreement. This is a strong signal that the decarbonisation of Orica will, and must, continue beyond 2030 and requires a collaborative approach across all of our stakeholders.

“We’re making solid progress having already achieved a 9% emissions reduction in financial year 2020 (to June 30, 2020) and further reductions this financial year. We’ve taken our 2030 medium-term target and extended our planning over the long term, developing a credible roadmap to support our ambition to achieve net zero emissions by 2050.

“Over the next decade, Orica is deploying tertiary catalyst abatement, prioritising renewable energy opportunities and supporting a trial of carbon capture utilisation and storage technology. Beyond 2030, how we achieve our ambition is dependent on effective global policy frameworks, supportive regulation and financial incentives, and access to new and emerging technologies operating at commercial scale.

“Orica is a company with a long history of technical innovation which is already helping our customers improve mine site safety, productivity and efficiency. We will apply the same approach by deploying low-emissions technologies to our major manufacturing sites and working with our global suppliers and stakeholders on reducing the footprint of our supply chain.”

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Orica says it has already undertaken several initiatives to drive action towards its medium- term target and support its 2050 net zero emissions ambition.

In FY2020, Orica’s Bontang AN manufacturing facility in Indonesia recorded a 43% reduction in net emissions and its Kooragang Island nitrates manufacturing plant (pictured below) in Australia achieved a 6.3% reduction in net emissions, by replacing and improving the performance of selective catalyst abatement technologies, the company said.

In partnership with the Alberta Government this year, Orica’s Carseland AN manufacturing facility in Canada has commissioned tertiary catalyst abatement technology, reducing emissions by approximately 83,000 t/y of CO2e.

Orica has assigned approximately A$45 million ($33 million) over the next five years in capital to deploy similar tertiary abatement technology across its Australian AN sites, which, it says, could deliver an annual reduction of 750,000 t CO2e.

Orica will also support the construction of a mobile demonstration plant of carbon capture, utilisation and storage technology at its Kooragang Island manufacturing facility, led by Mineral Carbonation International, in partnership with the Australian Government and the University of Newcastle. The plant is scheduled to be built on Orica’s Kooragang Island site by the end of 2023 and have direct access to some 250,000 t of captured CO2 from Orica’s manufacturing operations.

China coking coal, coke futures surge to record highs on supply woes

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HINA's coking coal and coke futures jumped about 9per cent on Monday to record highs, as supply remains tight even though Beijing has ramped up efforts to boost output.

The most-traded coking coal futures on the Dalian Commodity Exchange, for January delivery, surged 8.7per cent to 3,858 yuan (US$599.23) a tonne by 0330 GMT, the highest on record.

Coke futures hit their daily trading limit, up 9per cent at 4,344 yuan per tonne.

"Coke prices were mainly supported by raw material coking coal," said Tang Binghua, an analyst with Founder CIFCO Futures, adding there was still supply crunch for coking and thermal coal.

"The (tight supply) situation has not eased yet, especially as the government needs to ensure heating demand during winter."

China's coal production stood at 334.1 million tonnes in September, compared with 335.24 million tonnes in August and down 0.9per cent on an annual basis, according to data from the National Bureau of Statistics.

Coke output last month plunged 9.6per cent year-on-year to 37.18 million tonnes, data showed.

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Other steelmaking ingredients fell. Benchmark iron ore futures on the Dalian exchange dropped 1.2per cent to 719 yuan a tonne.

Spot prices of iron ore with 62per cent iron content for delivery to China gained US$2 to US$123 a tonne on Friday, data from SteelHome consultancy showed.

Steel prices on the Shanghai Futures Exchange gained. Construction-used steel rebar inched up 0.4per cent to 5,490 yuan a tonne.

Hot rolled coils, used in the manufacturing sector, rose 0.8per cent to 5,747 yuan per tonne.

Shanghai stainless steel futures, for November delivery, jumped 1.1per cent to 20,735 yuan a tonne.

(US$1 = 6.4383 Chinese yuan) (Reporting by Min Zhang and Shivani Singh; Editing by Subhranshu Sahu) Source: Reuters

What the energy transition may bring for five battery metals – report

Valentina Ruiz Leotaud

I

NG Economics published a new report in which its experts predict what the ongoing energy transition might bring for five key metals – copper, aluminum, nickel, cobalt, and lithium.

Taking into consideration where different regions of the world stand when it comes to moving towards a low-carbon future where global warming is limited to 2 degrees Celsius, ING’s analysts developed three scenarios that they use as a background to assess the possible performance of battery metals.

The ‘fast forward scenario’ represents a world of rapid change towards a more sustainable future, in which technology and policy reinforce each other to phase out fossil fuels and limit global warming to 2 degrees Celcius.

The ‘wait-and-see scenario,’ on the other hand, would see the majority of businesses continue to operate as normal, boosting emissions and global warming, which could increase by 3-5 degrees Celcius by the end of the century.

Finally, the ‘likely tech scenario’ pictures a plausible path for the global energy transition and corresponding metals demand.

Copper demand will always grow

Looking at each commodity separately, ING believes that copper demand will benefit from a growing share of electric vehicles, along with more renewable infrastructure and investment in the grid.

At present, infrastructure – which includes transmission and distribution networks, as well as telecommunication networks – makes up 16% of the copper demand, while transportation is responsible for 13%, most of it required from road transportation, although there is also a sizeable amount that goes towards railroads and shipping.

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“Under our ‘wait & see’ scenario, copper demand from road transportation and the power sector grows by 117% between 2020 and 2040, equivalent to a compound annual growth rate of 3.9%,” the report reads. “Copper demand grows at an annual rate of 6% under our

‘likely tech’ scenario, while under our most aggressive scenario, ‘fast forward’, demand from these two sectors grows at a CAGR of 7.2% to total almost 17mt by 2040.”

Currently, global consumption of the red metal is estimated at almost 29mt, growing at a compound annual rate of 1.97% between 2012 and 2019. Equipment and building construction are the largest end-users of copper, making up 31% and 28% of total demand, respectively.

Aluminum’s weight plays in its favour

Including secondary aluminum, annual consumption of the metal totals around 90mt with the largest end-user being transportation, making up 25% of total demand and followed closely by construction and electrical, which are responsible for 24% and 12%, respectively.

According to ING, aluminum is already benefitting from the energy transition as the push towards lightweighting to improve vehicle efficiency, particularly when it comes to EVs, has increased demand.

Similarly, increased wind and solar deployment in the power sector is also accelerating aluminum demand because both its lighter weight and cost advantage make it a preferable option over copper.

The market analyst’s review found that almost all above-ground transmission and distribution lines will use aluminum in the near future, with a larger share of aluminum cables likely to be used underground given its cheaper price.

“While there will be significant growth in aluminum demand from EVs, there will be a displacement from reduced ICE vehicle sales. Therefore demand growth for total road transportation will be much more modest than the growth seen from the EV segment,” the dossier reads. “Our ‘fast forward’ scenario sees aluminum demand from road transportation and the power sector grow by a little over 3% per annum between now and 2040, or from a little more than 20mt to 38mt by 2040. Our ‘likely tech’ scenario sees similar annual growth over the period, while under our ‘wait & see’ scenario, demand grows at an average of 2.5%

per year.”

Stainless steel production continues to drive nickel demand

Despite the growing importance of the EV sector, the battery industry still makes up a small proportion of nickel demand at just 6% of the 2.4mt currently used worldwide.

Nickel demand is actually dominated by stainless steel at 70% and ING believes that this will continue to be the case, given its increased use in renewable infrastructure.

“Nickel demand from road transportation and the power sector grows by 13.2% per annum between now and 2040 under our ‘wait & see’ scenario, 15.3% per annum under our ‘likely tech’ scenario and 16.8% in our ‘fast forward’ scenario,” the report reads.

EVs back up lithium demand

Although technology advances are considered a risk to any bullish demand outlook for lithium, ING’s document states that the upward trend in lithium demand – currently at 290kt LCE – will continue to take place, mostly driven by electric vehicle sales.

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“The power sector will see growth from a build-up in stationary energy storage capacity but the absolute numbers are a fraction of what will be seen in electric vehicles,” the report reads.

“Under our ‘wait & see’ scenario, we see total lithium demand from EVs and the power sector growing by 13% p.a. through until 2040. While under our ‘fast forward’ scenario, annual demand growth will be around 14% to leave demand from these two sectors at 1.6mt LCE by 2040.”

Uncertainty surrounds cobalt

Under all of ING’s scenarios, cobalt demand – which currently stands at around 135ktpa – will be largely driven by the transportation sector, while the power sector sees much more modest demand.

Exact predictions, however, are considered tricky by the market analyst taking into consideration that 66% of the current supply comes from the Democratic Republic of Congo, which causes concern in the EV industry given the social and environmental risks linked to artisanal cobalt mining in the African country.

Such concerns have spurred a push to reduce the use of cobalt in lithium-ion batteries and even produce cobalt-free batteries. This means that the battery chemistry used in future is a key uncertainty when it comes to forecasting cobalt demand.

“Under our ‘fast forward’ scenario, we forecast that cobalt demand from road transportation and the power sector grows at an annual rate of 13.6% through until 2040,” the review states.

“Demand under the ‘likely tech’ scenario grows at a CAGR of 13.2%, while under our most pessimistic scenario, ‘wait & see,’ cobalt demand grows by 12.8% per year.”

India’s coal import drops in Aug despite higher fuel demand from power sector

I

NDIA’s coal import registered a decline of 2.7 per cent to 15.22 million tonnes (MT) in August this year amid the country’s power plants grappling with fuel shortages.

The country imported 15.64 MT of coal in the corresponding month last year.

According to data compiled by mjunction services, “Imports in August 2021 stood at around 15.22 million tonnes…imports in August 2021 were also down by 2.7 percent over August 2020.”

mjunction CEO and MD Vinaya Varma attributed the decline in volumes to the steady increase in seaborne coal prices coupled with the initiatives taken by the domestic miners for import substitution.

However, he said, there is a spurt in demand from the power sector.

“What impact it will have on imports, given the volatility in international prices, is to be seen,”

he added.

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Of the total import during August 2021, non-coking coal was at 9.08 MT, against 10.33 MT imported during August last year. Coking coal imports were at 4.37 MT, up against 3.17 MT imported during August 2020.

India’s coal imports during August 2021 through the major and non-major ports are estimated to have decreased by 6.71 per cent over July 2021.

Imports in July stood at 16.31 MT.

During April-August 2021, coal import stood at 92.49 MT, about 21.27 per cent higher than 76.27 MT imported during April-August 2020.

During April-August 2021, non-coking coal import was at 60.85 MT as compared to 51.23 MT imported during April-August 2020.

Coking coal imports were recorded at 22.19 MT, against 14.38 MT imported during the same period last year.

Coal India which accounts for over 80 per cent of domestic coal output had earlier said that due to skyrocketing coal prices in international markets, all the consumers have been vying for domestic coal, hiking up the demand.

Coal Minister Pralhad Joshi on Thursday said closure of some mines, and inundation of a few others due to monsoon led to the crisis but there is no need to panic as the situation is improving.

China’s Zijin obtains all permits to start commercial production of copper and gold in Serbia

By Vladimir Basov

Z

IJIN Mining announced today that its subsidiary Serbia Zijin Mining Doo has obtained the permits for the use of all mine facilities of the Upper Zone of the Timok copper and gold mine issued by the Ministry of Mining and Energy of Serbia on 12 October 2021.

The company said that having completed all the formalities required for the current stage of production, the Timok mine will commence formal production in compliance with the laws and regulations.

The construction of the mining and processing project of the Upper Zone started in early 2019. The construction task took around two and a half years to complete.

"The project entered into trial production stage in June 2021 and has now passed the acceptance check organised by relevant departments in Serbia, realizing a smooth transition from project construction to production and operation," the company said in a statement.

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The Timok mine (also known as the Čukaru Peki copper and gold mine) is a large-scale copper and gold mine. The reserve volumes of resources at the Upper Zone are1.28 million tonnes of copper metal and 81 tonnes of gold metal; the volumes of resources at the Lower Zone are 14.30 million tonnes of copper metal and 299 tonnes of gold metal.

The mining and processing project of the Upper Zone of the Timok mine is designed to process 3.30 million tonnes of ore per annum. The first mining section will be the super-high grade ore deposit. It is expected the project will produce 50,000 tonnes and 3 tonnes of copper and gold in concentrate form in 2021, respectively.

South32 continues chasing Dendrobium mine approval

Tom Parker

S

OUTH32 is working on alterations to its Dendrobium Next Domain (DND) mine plan to get its mine extension approved at the Illawarra metallurgical coal complex in New South Wales.

The major miner had originally forecast the life extension investment amount to cost between

$US700 million ($945 million) and $US900 million ($1.2 billion) between the 2022 financial year and 2025 financial year.

South32 has revealed that it is looking to adjust the costing to between $US700 million ($945 million) and $US800 million ($1.08 billion) between the 2023 financial year and 2027 financial year.

This is a significant reduction in the cost of the mine extension per annum, with a projected

$US100 million ($135 million) reduction if the mine was to cost its initial $US900 amount across the original three-year plan.

Production estimates of the Dendrobium mine following the extension have been altered from approximately 7.6 million tonnes per annum of metallurgical coal (met coal) to between 7.5-8 million tonnes of met coal.

South32 also realises its need to respond the NSW’s Independent Planning Commission (IPC) concerns – the body that rejected the mine extension in February.

In February, the IPC found environmental impact risks are “likely to be irreversible” for the Dendrobium extension.

South32 did not outline any specific environmental solutions for the IPC’s perusal but will aim to provide a further update on the mine extension proposal by the end of 2021.

It comes as South32 released an updated sustainability report. Within this, South32 also outlined its overarching decarbonisation plans for the Illawarra met coal complex.

It is targeting an increase in post-drainage capture efficiency at its Appin mine (adjacent to Dendrobium) from 61 per cent in the 2021 financial year to 67 per cent in the 2024 financial year.

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South32 is also working with the CSIRO to develop ventilation air methane technologies to increase the dilution of methane emitted from the project.

South32 is committed to net-zero operational carbon emissions by 2050.

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