TABLE OF CONTENTS. No. Title Media Source Page

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Daily News Update Page 1

PTFI President Director Tony Wenas in Timika, Wednesday (6/4/2022), said that currently the progress of the construction of the copper smelter plant, which is said to be the largest in the world, has reached 21 percent. "Still on schedule, according to our plan. Currently the progress is 21 percent with the cost of 750 million US dollars," said Tony Wenas.

He said it is hoped that by the end of 2022 the progress of the construction of the copper smelter plant in Gresik can reach 50 percent. The total cost absorbed is around US$1.6 billion or at the current exchange rate of around Rp. 22 trillion at that stage.

In October 2021, President Joko Widodo also witnessed the groundbreaking of the Freeport copper smelter construction in Gresik. "We received reports that the smelter being built is with a single line design, the largest in the world," said President Jokowi at the time.

After the construction is completed, this smelter can process 1.7 million tons of copper concentrate into 600 thousand tons of copper cathode per year. Freeport is said to have invested around Rp 42 trillion to build the smelter factory in Gresik.

Pembangunan Smelter Freeport di Gresik Ditargetkan 50 Persen

Pada Akhir 2022

Reporter: ANTARA/Redaksi: Fuji Pratiwi

P

T FREEPORT Indonesia terus memper- cepat pembangunan pabrik smelter tembaga di Kawasan Ekonomi Khusus (KEK) JIIPE, Gresik, Jawa Timur dengan menargetkan hingga akhir 2022 bisa mencapai 50 persen.

Presiden Direktur PTFI Tony Wenas di Timika, Rabu (6/4/2022), mengatakan, saat ini kemajuan pembangunan pabrik smelter tembaga yang disebut-sebut sebagai yang terbesar di dunia itu sudah mencapai 21 persen. "Masih on schedule, sesuai dengan rencana kami. Saat ini progresnya sudah 21 persen dengan biaya yang sudah di- keluarkan 750 juta dolar AS," kata Tony Wenas.

Dia menyebutkan, diharapkan pada akhir 2022 kemajuan pembangunan pabrik smelter tembaga di Gresik itu sudah bisa mencapai 50 persen. Total biaya yang terserap sekitar 1,6 miliar dolar AS atau dengan nilai kurs saat ini sekitar Rp 22 triliun pada tahap itu.

Pada Oktober 2021 Presiden Joko Widodo turut menyaksikan groundbreaking pem- bangunan smelter tembaga Freeport di Gresik tersebut. "Kita mendapatkan laporan bahwa smelter yang dibangun ini dengan desain single line, terbesar di dunia," ujar Presiden Jokowi saat itu.

Setelah pembangunan konstruksi rampung, smelter ini dapat mengolah 1,7 juta ton konsentrat tembaga menjadi 600 ribu ton katoda tembaga per tahun. Freeport disebut-sebut melakukan investasi sekitar Rp 42 triliun untuk membangun pabrik smelter di Gresik tersebut.

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The smelter is a copper refining facility to produce copper cathodes and a precious metal refining facility that produces gold, silver and various other precious metals.

This smelter is projected to produce an average of 35 tons of gold per year with a transaction value of up to Rp 30 trillion.

Smelter itu sebagai fasilitas pemurnian tembaga untuk menghasilkan katoda tembaga dan fasilitas pemurnian logam berharga yang menghasilkan emas, perak dan berbagai logam berharga lainnya. Smelter ini di- proyeksikan bakal memproduksi emas rata- rata 35 ton per tahun dengan nilai transaksi bisa mencapai Rp 30 triliun.

Adaro Energy Indonesia Prepares Capex Up To 133%

Higher Than 2021

Reporter: Arfyana Citra Rahayu | Editor:

Handoyo

T

HIS year, PT Adaro Energy Indonesia Tbk (ADRO) has budgeted a higher capital expenditure or capex of up to 55%-133%

compared to 2021, which is US$ 300 million to US$ 450 million.

Febriati Nadira, Head of Corporate Communications at Adaro Energy Indonesia, said that the capital expenditure includes supporting growth and routine maintenance.

"This year's capex guidance is higher due to a higher production target. In addition, we expect the market to remain positive in 2022, along with the global economic recovery," he explained to Kontan.co.id, Wednesday (6/4).

Febrianti said that her party still believes that the long-term outlook will remain positive and optimistic about the potential for future growth. According to him, developing countries in Southeast Asia and South Asia will continue to rely on coal as a power source because of its affordability and availability.

Adaro Energy Indonesia Siapkan Capex Hingga 133%

Lebih Tinggi Dibandingkan Tahun 2021

Reporter: Arfyana Citra Rahayu | Editor:

Handoyo

D

I TAHUN ini PT Adaro Energy Indonesia Tbk (ADRO) menganggarkan belanja modal atau capex lebih tinggi hingga 55%-133%

dibandingkan 2021 yakni sebesar US$ 300 juta hingga US$ 450 juta.

Febriati Nadira, Head of Corporate Communi- cations Adaro Energy Indonesia mengatakan, belanja modal tersebut sudah mencakup untuk mendukung pertumbuhan dan pemeliharaan rutin.

"Panduan capex tahun ini lebih tinggi karena target produksi yang lebih tinggi. Selain itu kami perkirakan pasar akan tetap positif pada tahun 2022, bersama pemulihan ekonomi global," jelasnya kepada Kontan.co.id, Rabu (6/4).

Febrianti mengatakan, pihaknya masih percaya bahwa prospek jangka panjang akan tetap positif dan optimistis dengan potensi pertumbuhan ke depannya. Menurutnya, negara-negara berkembang di Asia Tenggara dan Asia Selatan akan terus mengandalkan batubara sebagai sumber listrik karena keterjangkauan dan ketersediaannya.

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"We also hope to benefit from increased industrialization and urbanization in the region thanks to their economic growth,"

he said.

In 2022, ADRO has set a coal production target of 58 million tons to 60 million tons or a growth of 10% to 14% yoy compared to 2021 which is 52.7 million tons. The average stripping ratio target is targeted at 4.1x according to the mining sequence.

ADRO also anticipates operational EBITDA of US$ 1.9 billion to US$ 2.2 billion in 2022.

"Kami juga berharap untuk menimba keuntungan dari peningkatan industrialisasi dan urbanisasi di wilayah tersebut berkat pertumbuhan ekonomi mereka," ujarnya.

Di tahun 2022, ADRO menetapkan target produksi batubara sebesar 58 juta ton hingga 60 juta ton atau tumbuh 10% hingga 14% yoy dibandingkan 2021 yang sebanyak 52,7 juta ton. Adapun target nisbah kupas rata-rata ditargetkan 4,1x sesuai sekuens penambangan. Adapun ADRO juga mengan- tisipasi EBITDA operasional sebesar US$ 1,9 miliar sampai US$ 2,2 miliar pada 2022.

Merdeka Copper Gold (MDKA) Aims for Rp3.41 Trillion from

Rights Issue, What for?

Author: Mutiara Nabila

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HE MINING company of the Saratoga group, PT Merdeka Copper Gold Tbk.

preparing to hold a Limited Public Offering or rights issue.

The issuer with the stock code MDKA plans to issue up to 1,205,999,956 new shares.

Each holder of 9,401 old shares whose names are recorded in the Register of Shareholders (DPS) on April 18, 2022 at 16.00 WIB is entitled to 495 Rights.

Meanwhile, the amount of funds that will be received by MDKA in the context of PMHMETD II is Rp 3,412,979,875,480 or Rp 3.41 trillion.

"About 60 percent of the proceeds from the rights issue will be allocated to PT Bumi Suksesindo (BSI) to partially fund capital expenditure needs, payment of part of the principal debt and working capital," MDKA management wrote in an information disclosure, Wednesday (6/4/2022).

Merdeka Copper Gold (MDKA) Bidik Rp3,41 Triliun dari Rights

Issue, Untuk Apa?

Author: Mutiara Nabila

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MITEN tambang grup Saratoga, PT Merdeka Copper Gold Tbk. bersiap meng- gelar Penawaran Umum Terbatas atau rights issue.

Emiten dengan kode saham MDKA ini beren- cana menerbitkan hingga 1.205.999.956 saham baru. Setiap pemegang 9.401 saham lama yang namanya tercatat dalam Daftar Pemegang Saham (DPS) pada 18 April 2022 pukul 16.00 WIB berhak atas 495 HMETD.

Adapun, jumlah dana yang akan diterima MDKA dalam rangka PMHMETD II ini adalah sebesar Rp3.412.979.875.480 atau Rp3,41 triliun.

"Sekitar 60 persen dana hasil rights issue akan dialokasikan kepada PT Bumi Suksesindo (BSI) untuk mendanai sebagian kebutuhan belanja modal, pembayaran sebagian pokok utang dan modal kerja," tulis manajemen MDKA dalam keterbukaan informasi, Rabu (6/4/2022).

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Furthermore, about 22 percent will be channeled to PT Batutua Tembaga Raya (BTR) to partially fund the need for capital expenditures and working capital. Then, around 9 percent will be used to be allocated to PT Batutua Kharisma Permai (BKP) to partially fund capital expenditure and working capital needs.

The remaining 9 percent will be used to be allocated to PT Puncak Emas Tani Sejahtera (PETS) to fund part of the capital expenditure needs.

“The distribution of BSI, BTR, BKP and PETS funds will be in the form of loans with due observance of the fair terms and conditions prevailing in the market. If the loaned funds have been returned by BSI, BTR, BKP and PETS to the Company, MDKA will use the funds to support business activities," explained the management of MDKA. Editor : Farid Firdaus

Selanjutnya, sekitar 22 persen akan disalur- kan kepada PT Batutua Tembaga Raya (BTR) untuk mendanai sebagian kebutuhan belanja modal dan modal kerja. Kemudian, sekitar 9 persen akan digunakan untuk dialokasikan kepada PT Batutua Kharisma Permai (BKP) untuk mendanai sebagian kebutuhan belanja modal dan modal kerja.

Sisanya, sekitar 9 persen akan digunakan untuk dialokasikan kepada PT Puncak Emas Tani Sejahtera (PETS) untuk mendanai sebagian kebutuhan belanja modal.

“Penyaluran dana BSI, BTR, BKP dan PETS akan dilakukan dalam bentuk pinjaman dengan memperhatikan syarat dan ketentuan wajar yang berlaku di pasar. Apabila dana yang dipinjamkan telah dikembalikan oleh BSI, BTR, BKP dan PETS kepada Perseroan, MDKA akan menggunakan dana tersebut untuk mendukung kegiatan usaha,”

jelas manajemen MDKA. Editor : Farid Firdaus

Nickel Price is Predicted to Stay High, Vale (INCO) Shares Keep

Buying

Parluhutan Situmorang

P

T VALE Indonesia Tbk (INCO) shares still have the potential for price increases, as they are supported by a bright outlook for nickel commodity prices this year. This good outlook makes the company's financial performance experience a growth trend.

This prompted RHB Sekuritas Indonesia to maintain its recommendation to buy INCO shares with a target price of Rp 7,940 per share. The target takes into account the upward revision of the company's financial performance forecast for 2022-2023.

Harga Nikel Diprediksi Tetap Tinggi, Saham Vale (INCO)

Dipertahankan Beli

Parluhutan Situmorang

S

AHAM PT Vale Indonesia Tbk (INCO) masih menyisakan potensi kenaikan harga, karena didukung oleh outlook harga komo- ditas nikel yang cerah sepanjang tahun ini.

Outlook yang baik tersebut menjadikan kinerja keuangan perseroan mengalami tren pertumbuhan.

Hal ini mendorong RHB Sekuritas Indonesia mempertahankan rekomendasi beli saham INCO dengan target harga Rp 7.940 per saham. Target tersebut mempertimbangkan revisi naik perkiraan kinerja keuangan perseroan sepanjang 2022-2023.

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RHB Sekuritas revised up Vale Indonesia's estimated net profit from US$ 177 million to US$ 251 million in 2022. Meanwhile, its revenue forecast was revised up from US$

1.02 billion to US$ 1.19 billion.

Likewise, the company's estimated net profit in 2023 was revised up from US$

214 million to US$ 253 million. Meanwhile, the revenue forecast was revised down from US$ 1.21 billion to US$ 1.2 billion.

"We expect nickel selling prices to remain high due to rising geopolitical tensions, low inventories due to sanctions against Russia, and increased demand," wrote RHB Sekuritas analyst Ryan Santoso in his research.

Based on data from the London Metal Exchange (LME), the selling price of nickel has soared 105 percent to US$ 33,200 per ton this year. Meanwhile, this year's nickel price is estimated to be in the range of US$

23,500 per tonne, an increase of 27% from the achievement in 2021.

He added that the increase in the selling price of nickel will certainly have an impact on increasing profit margins. Moreover, the company's sales volume is estimated to be around 64-78 thousand tons this year.

Meanwhile, the company's furnace repair is expected to have an impact on production volume. Editor : Parluhutan

RHB Sekuritas merevisi naik perkiraan laba bersih Vale Indonesia dari US$ 177 juta menjadi US$ 251 juta pada 2022. Sedangkan perkiraan pendapatan direvisi naik dari US$

1,02 miliar menjadi US$ 1,19 miliar.

Begitu juga dengan perkiraan laba bersih perseroan tahun 2023 direvisi naik dari US$

214 juta menjadi US$ 253 juta. Sedangkan perkiraan pendapatan direvisi turun dari US$ 1,21 miliar menjadi US$ 1,2 miliar.

“Kami memperkirakan harga jual nikel tetap tinggi dipengaruhi atas peningkatan tensi geopolitik, inventori yang rendah dipengaruhi sanksi terhadap Rusia, dan peningkatan permintaan,” tulis analis RHB Sekuritas Ryan Santoso dalam risetnya.

Berdasarkan data London Metal Exchange (LME) harga jual nikel telah melonjak 105%

menjadi US$ 33.200 per ton dalam setahun ini. Sedangkan harga nikel tahun ini diperkirakan berada dalam rentang US$ 23.500 per ton atau meningkat 27% dari pen- capaian tahun 2021.

Dia menambahkan, peningkatan harga jual nikel tentu akan berimbas terhadap peningkatan margin keuntungan. Apalagi volume penjualan perseroan diperkirakan berkisar 64-78 ribu ton sepanjang tahun ini.

Sedangkan perbaikan tanur perseroan diperkirakan akan berdampak terhadap volume produksi. Editor : Parluhutan

Coal Soars: Tycoon Profits, But Country Confuses

Maesaroh, CNBC Indonesia

C

OAL prices 'fly' in the last year. The energy crisis in China last June , the economic recovery,...

Batu Bara Melambung: Taipan Untung, Tapi Negara Bingung

H

ARGA batu bara 'terbang' dalam setahun terakhir. Krisis energi di China Juni lalu,...

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The energy crisis in China last June, the economic recovery, and the climax of the Russo-Ukrainian war catapulted the price of the black stone to record highs.

Coal prices have skyrocketed since late February after Russia attacked Ukraine. At the beginning of February, the price of coal was still below US$ 200 per tonne but then jumped to the level of US$ 300 and even set a record on March 2, 2022 at the level of US$ 446 per ton.

This condition was inversely proportional to the beginning of 2020. The Covid-19 pandemic caused coal prices to drop sharply in March 2020. Coal prices even touched a record low in August 2020 to the level of US$ 47.5 per ton.

However, coal prices rebounded following the economic recovery and the Russian War. In trading Tuesday (5/4/2022), coal prices jumped 8% because the European Union threatened to add sanctions to Russia. Unmitigated, the European Union threatened to ban imports of coal from Russia to its 27 member countries.

Previously, the Western World had also imposed sanctions on Russia in the form of export bans to the blocking of the Worldwide Interbank Financial Tele- communication (SWIFT) world financial system.

Of course, the planned export ban will further inflate coal prices because it is feared that supply will decrease. Based on data from the International Energy Agency (IEA), in 2020 global trade in thermal coal will reach 978 million tons.

Indonesia is the largest exporter of thermal coal with a contribution of up to 40%.

Australia is in second place with a share of 20%, followed by Russia (18%).

Krisis energi di China Juni lalu, pemulihan ekonomi, dan puncaknya perang Rusia- Ukraina melambungkan harga si batu hitam ke level tertingginya.

Harga batu bara melonjak tajam sejak akhir Februari lalu setelah Rusia menyerang Ukraina. Pada awal Februari, harga batu bara masih di bawah US$ 200 per ton tetapi kemudian melonjak ke level US$ 300 dan bahkan mencetak rekor pada 2 Maret 2022 di level US$ 446 per ton.

Kondisi tersebut berbanding terbalik pada awal tahun 2020. Pandemi Covid-19 membuat harga batu bara merosot tajam pada Maret 2020. Harga batubara bahkan menyentuh rekor terendah pada Agustus 2020 hingga berada di level US$ 47,5 per ton.

Namun, harga batu bara kembali melambung menyusul pemulihan ekonomi dan Perang Rusia. Pada perdagangan Selasa (5/4/2022), harga batu bara melonjak 8%

karena Uni Eropa mengancam akan menambah sanksi kepada Rusia. Tidak tanggung-tanggung, Uni Eropa mengancam akan melarang impor batu bara dari Rusia kepada 27 negara anggotanya.

Sebelumnya, Dunia Barat juga sudah memberikan sanksi kepada Rusia berupa larangan ekspor hingga pemblokiran sistem keuangan dunia Society Worldwide Interbank Financial Telecommunication (SWIFT).

Rencana larangan ekspor ini tentu saja akan semakin melambungkan harga batu bara karena pasokan dikhawatirkan berkurang.

Berdasarkan data Badan Energi Inter- nasional (IEA), pada 2020 perdagangan global batu bara thermal mencapai 978 juta ton.

Indonesia adalah eksportir terbesar untuk thermal batu bara dengan kontribusi hingga 40%. Australia ada di posisi kedua dengan porsi 20%, disusul kemudian dengan Rusia (18%).

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Coal Company Stock Performance Company Position 6 April

2022 (Rp) Position 31 Desember

2021 (Rp) Change (%)

Adaro Energy 3640 3250 12

Baramulti Suksessarana 4160 4090 1,71

Bayan Resources 43699 27000 61,85

Bukit Asam 3490 2710 28,78

Bumi Resources 64 67 -4,48

Golden Energy Mines 4840 7950 -39,12

Indika Energy 2550 1545 65,05

Indo Tambangraya Megah 27075 20400 32,71

Table: Maesaroh Source: Refinitiv Created with Datawrapper War Heats Up, Coal Company Profits

Rise

The soaring price of coal in the past year has had a major impact on the financial performance of coal companies. Several companies in 2020 suffered losses due to low prices, including Indika Energy.

However, in 2021, coal companies reap big profits. Some companies even recorded a profit increase of more than 200%.

PT Bukit Asam posted a revenue increase of 272% from Rp 2.39 trillion in 2020 to Rp 7.91 trillion in 2021. PT Golden Energy Mines' net profit soared 270.5% from US$

93.61 million to US$ 348, 5 million.

PT Indo Tambangraya Megah's net profit flew 1.104 percent from US$ 39.47 million in 2020 to US$ 475.6 million last year in 2021. Adaro Energy posted a 535.3%

increase in net profit from US$ 146.93 million in 2020 to US$933.5 million in 2021.

Perang Memanas, Cuan Perusahaan Batu Bara Mengganas

Melambungnya harga batu bara dalam setahun terakhir berdampak besar terhadap kinerja keuangan perusahaan-perusahaan batu bara. Beberapa perusahaan pada 2020 sempat merugi karena rendahnya harga, termasuk Indika Energy.

Namun pada 2021, perusahaan batu bara menangguk untung besar. Beberapa perusahaan bahkan mencatatkan kenaikan laba di atas 200%.

PT Bukit Asam membukukan kenaikan pendapatan sebesar 272% dari Rp 2,39 triliun di tahun 2020 menjadi Rp 7,91 triliun pada 2021. Laba bersih PT Golden Energy Mines meroket 270,5% dari US$ 93, 61 juta menjadi US$ 348,5 juta.

Laba bersih PT Indo Tambangraya Megah terbang 1.104% dari US$ 39,47 juta pada 2020 menjadi US$ 475,6 juta tahun lalu 2021. Adaro Energy membukukan kenaikan laba bersih sebesar 535,3% dari US$ 146,93 juta pada 2020 menjadi US$ 933,5 juta pada 2021.

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Coal Company Financial Performance

Company 2021 Net Profit Increase (%)

Adaro Energy US$ 933, 5 million 535,4

Baramulti Suksessarana US$ 205,16 million 572,2

Bayan Resources US$ 1, 21 billion 268,9

Bukit Asam Rp 7, 91 trillion 231,4

Bumi Resources ** US$ 6,89 million 184,3

Golden Energy Mines US$ 348,5 million 270,5

Indika Energy US$ 57,72 million 2020 is a loss

Indo Tambangraya Megah US$ 475,57 million 1163,9

**Bumi Resourcess hingga September 2021 Table: Maesaroh Source: IDX Created with Datawrapper Some companies also compensate their top

officials. Golden Energy Mines compen- sates key management. The amount of short-term employee benefits paid to the Board of Commissioners and Directors is equivalent to US$ 9.21 million and US$

2.87 million for 2021 and 2020.

Baramulti Suksessarana compensated key management for the Board of Directors and Commissioners of US$ 812,314 and US$ 669,992 for 2021 and 2020. Adaro Energy compensated the Board of Directors and Commissioners in the form of post-employment benefits remuneration of US$ 20.68 million for 2021 and US$

24.46 million for 2020.

Indika Energy also provides compensation to the Board of Commissioners and the Board of Directors. US$ 1.03 million for commissioners in 2021 and US$ 1.07 million in 2020. Meanwhile, for directors US$ 3.17 million in 2021 and US$ 4.21 in 2020.

Bayan Resources provided compensation to the Board of Directors of US$ 18.80 million for 2021 and US$ 6.67 million for 2020. To the Board of Commissioners,...

Beberapa perusahaan juga memberikan kompensasi kepada para pejabat terasnya.

Golden Energy Mines memberikan kompensasi kepada manajemen kunci. Jumlah imbalan kerja jangka pendek yang dibayar kepada Dewan Komisaris dan Direksi sebesar ekuivalen US$ 9,21 juta dan US$

2,87 juta untuk 2021 dan 2020.

Baramulti Suksessarana memberikan kompensasi kepada manajemen kunci untuk Dewan Direksi dan Komisaris masing-masing sebesar US$ 812.314 dan US$ 669.992 untuk 2021 dan 2020. Adaro Energy memberikan kompensasi untuk dewan Direksi dan Komisaris berupa remunerasi imbalan pasca kerja sebesar US$ 20,68 juta untuk 2021 dan US$ 24,46 juta untuk 2020.

Indika Energy juga memberikan kompensasi kepada Dewan Komisaris dan Direksi. Untuk komisaris sebesar US$ 1,03 juta pada 2021 dan US$ 1,07 juta pada 2020. Sementara itu, untuk direksi sebesar US$ 3,17 juta pada 2021 dan US$ 4,21 pada 2020.

Bayan Resources memberikan kompensasi kepada Dewan Direksi sebesar US$ 18,80 juta untuk 2021 dan US$ 6,67 juta untuk 2020. Kepada Dewan Komisaris,...

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To the Board of Commissioners, compensation was US$ 934,142 in 2021 and US$

771,432 in 2020.

Coal Prices Soar But Electricity Supply Can Be Interrupted

The increase in coal prices on the other hand can increase state revenues in the form of coal royalties or income tax (PPh).

Unfortunately, not all parties in Indonesia enjoy the increase in coal prices.

PT Perusahaan Listrik Negara was even threatened with losing its coal supply because many companies chose to export despite the obligation to fulfill the domestic market (DMO).

The obligation to fulfill the domestic market (DMO) will also limit the amount of Indonesian coal exports. Under the DMO provisions, entrepreneurs are required to sell coal to PLN for 25% of the total production at a price of US$ 70 per metric ton. The price is far below the price in the international market.

The government even issued a policy of banning coal exports in early January to ensure the supply of coal to PLN is met.

The policy is also to prevent mass blackouts.

With its status as a major exporter of thermal coal, Indonesia must struggle with the supply of coal for its power plants and is in danger of mass blackouts. Ironic indeed.

The increase in coal prices also makes PLN even more burdened because more than 50% of PLN's generating energy sources come from coal.

Kepada Dewan Komisaris, kompensasi sebesar US$ 934.142 pada 2021 dan US$

771.432 pada 2020.

Harga Batu Bara Melambung Tapi Pasokan Listrik Bisa Terganggu

Kenaikan harga batu bara di sisi lain bisa menaikkan penerimaan negara dalam bentuk royalti batu bara ataupun Pajak Penghasilan (PPh). Sayangnya tidak semua pihak di Indonesia menikmati kenaikan harga batu bara.

PT Perusahaan Listrik Negara bahkan sempat terancam kehilangan pasokan batu baranya karena banyak perusahaan memilih ekspor meskipun ada kewajiban pemenuhan pasar domestik (DMO).

Kewajiban memenuhi pasar domestik (DMO) juga akan membatasi jumlah batu bara ekspor Indonesia. Dalam ketentuan DMO, pengusaha wajib menjual batu bara ke PLN sebesar 25% dari total produksi dengan harga US$ 70 per metrik ton. Harga tersebut jauh di bawah harga di pasar internasional.

Pemerintah sampai mengeluarkan kebijakan larangan ekspor batu bara pada awal Januari untuk memastikan pasokan batu bara ke PLN terpenuhi. Kebijakan tersebut juga untuk mencegah mati listrik massal.

Berstatus sebagai eksportir utama batu bara thermal, Indonesia justru harus berjibaku dengan pasokan batu bara untuk pembangkitnya dan terancam mati lampu massal. Ironis memang.

Kenaikan harga batu bara juga membuat PLN semakin terbebani karena lebih dari 50% sumber energi pembangkit PLN ber- asal dari batu bara.

Use of Coal for PLN Generation (Million Tons)

2017 2018 2019 2020 2021

54.71 60.48 67.00 66.68 68.47

Source: PLN

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The coal supply crisis in January even threatened Indonesia from mass blackouts like what happened in China. In September and October, China carried out mass blackouts due to its energy crisis.

The increase will have an impact on PLN's burden, which will eventually affect electricity subsidies. Electricity subsidies swell almost every year. In 2019, electricity subsidies reached Rp 52.7 trillion while in 2020 it increased to Rp 61.1 trillion. Last year, the electricity subsidy swelled to Rp 56.6 trillion from the planned Rp 53.6 trillion. CNBC INDONESIA RESEARCH TEAM (mae/mae)

Krisis pasokan batu bara di Januari bahkan membuat Indonesia terancam dari mati lampu masal seperti yang terjadi di China. Pada September dan Oktober, China melakukan pemadaman massal karena krisis energi.

Kenaikan akan berimbas pada beban PLN yang akhirnya berimbas kepada subsidi listrik. Subsidi listrik membengkak hampir tiap tahun. Pada tahun 2019, subsidi listrik mencapai Rp 52,7 triliun sementara pada tahun 2020 meningkat menjadi Rp 61,1 triliun. Pada tahun lalu, subsidi listrik membengkak menjadi Rp 56,6 triliun dari Rp 53,6 triliun yang direncanakan. TIM RISET CNBC INDONESIA (mae/mae)

Reducing Carbon Emissions, Adaro (ADRO) Asks for Bank

Support

Author: Faustina Prima Martha

I

NDONESIA's target to reduce 41 percent of carbon emissions by 2030 is a major challenge for coal producers such as PT Adaro Energy Tbk. (ADRO). The reason is that its operational activities produce a lot of carbon footprints.

General Manager of HSE, Risk Management &

Crisis Team Leader of PT Adaro Energy Tbk, Rusdi Husin did not deny this. He said developing green economy-based projects requires funding.

“The biggest challenge that Adaro faces is how to balance CAPEX, OPEX, and other costs for the green economy-based project.

Therefore, we need support from banks and financial institutions to realize this initiative,"

said Rusdi at the Executive Sustainability Forum: Delivering a Fair Transition to Net Zero for Indonesia Companies, organized by Bisnis Indonesia, Tuesday (05/04/2022).

Tekan Emisi Karbon, Adaro (ADRO) Minta Dukungan Bank

Author: Faustina Prima Martha

T

ARGET Indonesia untuk menurunkan 41 persen emisi karbon pada tahun 2030 merupakan tantangan besar bagi produsen batu bara seperti PT Adaro Energy Tbk.

(ADRO). Pasalnya, aktivitas operasionalnya banyak menghasilkan jejak karbon.

General Manager HSE, Risk Management &

Crisis Team Leader PT Adaro Energy Tbk, Rusdi Husin tidak menampik hal tersebut. Dia mengatakan mengembangkan proyek berbasis ekonomi hijau memerlukan pendanaan.

“Tantangan terbesar yang dihadapi Adaro adalah bagaimana menyeimbangkan CAPEX, OPEX, dan biaya-biaya lain untuk proyek berbasis ekonomi hijau tersebut. Oleh karena itu, kami memerlukan dukungan dari bank dan financial institution untuk merealisasikan inisiatif tersebut,” kata Rusdi dalam acara Executive Sustainability Forum: Delivering a Fair Transition to Net Zero for Indonesia Companies, yang diselenggarakan Bisnis Indonesia, Selasa (05/04/2022).

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Nevertheless, Adaro is focused on reducing carbon emissions and implementing a number of initiatives to reduce carbon emissions.

“Although it is very challenging, we are concerned with the government's efforts to reduce carbon emissions and lead to a green economy. By implementing a number of strategies, we have succeeded in reducing emissions in our business processes. Three years ago we issued a mining industry policy that contained energy performance indicators and regulations for greenhouse gas production,” explained Rusdi.

In addition, according to Rusdi, Adaro is also trying to implement a green nature solution to preserve forests in Central Kalimantan.

The third initiative is developing renewable energy such as solar energy, hydropower, and biomass, which is currently still in the study stage.

Meanwhile, continued Rusdi, the latest initiative is planning the development of an aluminum processing industry (smelter) in North Kalimantan (Kaltara). Aluminum processing aims to supply environmentally friendly electric vehicle components as well as components of solar panels and wind turbines. This smelter will be built in the Kaltara industrial area which was just inaugurated by President Jokowi. Editor : Muhammad Khadafi

Kendati demikian, Adaro fokus terhadap pengurangan emisi karbon dan menerapkan sejumlah inisiatif untuk penurunan emisi karbon.

“Meskipun sangat menantang, kami concern dengan upaya pemerintah untuk mengu- rangi emisi karbon dan menuju ekonomi hijau. Dengan menerapkan sejumlah strategi, kami berhasil menurunkan emisi dalam proses bisnis kami. Tiga tahun yang lalu kami menerbitkan kebijakan industri pertambangan yang berisi energy performance indicator serta aturan produksi gas rumah kaca,” urai Rusdi.

Selain itu, menurut Rusdi, Adaro juga ber- upaya melaksanakan green nature solution untuk menjaga kelestarian hutan di Kalimantan Tengah. Adapun inisiatif ketiga adalah mengembangkan energi terbarukan seperti energi surya, hydropower, dan bio- massa, yang saat ini masih dalam tahap studi.

Sementara itu, sambung Rusdi, inisiatif terakhir adalah perencanaan pembangunan industri pengolahan (smelter) aluminium di Kalimantan Utara (Kaltara). Pengolahan aluminium bertujuan untuk memasok komponen kendaraan listrik yang ramah lingkungan serta komponen panel surya maupun turbin angin. Smelter ini akan dibangun di kawasan industri Kaltara yang baru saja diresmikan oleh Presiden Jokowi.

Editor : Muhammad Khadafi

12 Downstream Projects Still Stagnant

M

INISTER of Energy and Mineral Resources (MEMR) Arifin Tasrif said there were still 12 downstream projects that were stuck.

12 Proyek Hilirisasi Masih Mandek

M

ENTERI Energi dan Sumber Daya Mineral (ESDM) Arifin Tasrif mengatakan masih ada 12 proyek hilirisasi yang mandek.

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He conveyed this during the signing of the PT Ceria Metalindo Prima Nickel Smelter Financing Agreement, Wednesday (6/4).

Arifin explained that initially there were 57 downstream projects that were stuck. The project is classified as relaxation, so it has a time limit.

Finally, an initiative emerged from the Ministry of EMR on how to encourage the project to run. Arifin also took the initiative to ask the President Director of PT Bank Mandiri Darmawan Junaidi for help.

The effort paid off. As time goes by, currently there are only 12 downstream projects that are still stagnant.

"We have to encourage 12 more smelters, consisting of 8 nickel smelters, 3 bauxite smelters, and 1 smelter," he said.

Arifin hopes that the downstream process can run well considering that Indonesia has abundant raw materials or natural resources that can be processed, including nickel.

Moreover, Indonesian nickel contributes 23 percent of the world's potential capacity. "Hopefully in the future we can push all downstream processes which are currently still pending," he said. (mrh/agt)

Hal tersebut ia sampaikan dalam acara Penandatanganan Perjanjian Pembiayaan Smelter Nikel PT Ceria Metalindo Prima, Rabu (6/4).

Arifin menjelaskan awalnya ada 57 proyek hilirisasi yang mandek. Proyek itu tergolong relaksasi, sehingga memiliki batas waktu.

Akhirnya timbul inisiatif dari Kementerian ESDM bagaimana bisa mendorong proyek tersebut agar bisa berjalan. Arifin pun berinisiatif meminta bantuan pada Direktur Utama PT Bank Mandiri Darmawan Junaidi.

Upaya itu membuahkan hasil. Seiring ber- jalannya waktu, saat ini tinggal tersisa 12 proyek hilirisasi yang masih mandek.

"Ada 12 smelter lagi harus kita dorong terdiri dari 8 smelter nikel, 3 smelter bauksit, dan 1 smelter," ujarnya.

Arifin berharap proses hilirisasi dapat berjalan dengan baik mengingat Indonesia memiliki bahan baku atau sumber daya alam melimpah yang bisa diolah, termasuk nikel.

Terlebih, nikel Indonesia mempunyai kontribusi 23 persen dari kapasitas potensi dunia. "Mudah-mudahan ke depannya kita bisa dorong seluruh proses-proses hilirisasi yang saat ini masih tertunda," tandasnya.

(mrh/agt)

Freeport disburses Rp.42 billion to build the Uncen lecture

building

Reporter: ANTARA/Editor: Fuji Pratiwi

P

T FREEPORT Indonesia disbursed Rp 42 billion to build a lecture building on the Cenderawasih University campus in Jayapura.

Freeport Gelontorkan Rp.42 Miliar Bangun Gedung

Perkuliahan Uncen

Reporter: ANTARA/Redaksi: Fuji Pratiwi

P

T FREEPORT Indonesia menggelontor- kan dana Rp 42 miliar untuk membangun sebuah gedung perkuliahan di kampus Universitas Cenderawasih Jayapura.

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PT Freeport Indonesia President Director Tony Wenas in Timika, Wednesday (6/4/2022), said the new building, which will be named Freeport Indonesia for Science and Partnerships, will begin construction this year with a target of completion in the next 18 months. This building has a total area of 2,765 square meters, with a three-story design and was built with the concept of a green building.

"There will be 18 classrooms, there will also be an auditorium and it is hoped that it can accelerate the teaching and learning process at Uncen, including to support research and community service activities in accordance with the Tri Dharma of Higher Education,"

said Tony.

In this regard, on Tuesday (5/4/2022) evening, a memorandum of understanding was signed between PTFI President Director Tony Wenas and Uncen Chancellor DR Apolo Safanpo at the Rimba Papua Hotel, Timika.

According to Tony, the cooperation between Freeport and Uncen is a continuation of previous collaborations, where the two parties have collaborated since 1995.

"Hopefully the construction of this new building can be completed faster, hopefully this pandemic will also will soon subside so that the construction process can be carried out more quickly," Tony hoped.

The construction of the Uncen lecture building is part of Freeport's social development program in the field of education, in addition to health, people- based economy, infrastructure, culture and others. According to Tony, education is a very important factor for this nation, especially for Papua.

"This is one of the implementations of our education program, namely so that Uncen can produce more workers, more research results and also community service activities," said Tony.

Presiden Direktur PT Freeport Indonesia Tony Wenas di Timika, Rabu (6/4/2022), mengatakan, gedung baru yang akan dinamakan Freeport Indonesia untuk Sains dan Kemitraan itu mulai dikerjakan tahun ini dengan target akan rampung pada 18 bulan ke depan. Gedung Ini luas keseluruh- annya 2.765 meter persegi, dengan desain tiga lantai dan dibangun dengan konsep gedung hijau (green building).

"Akan ada 18 ruang kelas, juga ada auditorium dan diharapkan bisa mengakselerasi proses belajar-mengajar di Uncen, termasuk juga untuk mendukung kegiatan penelitian dan pengabdian masyarakat sesuai dengan Tri Dharma Perguruan Tinggi," ujar Tony.

Sehubungan dengan itu, pada Selasa (5/4/

2022) petang, telah ditandatangani nota kesepahaman antara Presdir PTFI Tony Wenas dengan Rektor Uncen DR Apolo Safanpo bertempat di Hotel Rimba Papua, Timika.

Menurut Tony, kerja sama antara Freeport dengan Uncen tersebut merupakan kelan- jutan dari kerja sama-kerja sama sebelumnya, dimana kedua belah pihak telah men- jalin kerja sama sejak 1995. "Mudah- mudahan pembangunan gedung baru ini bisa selesai lebih cepat, mudah-mudahan juga pandemi ini segera mereda sehingga proses pembangunannya bisa lebih cepat dilakukan," harap Tony.

Pembangunan gedung perkuliahan Uncen tersebut merupakan bagian dari program pengembangan sosial masyarakat Freeport di bidang pendidikan, selain bidang kesehatan, ekonomi berbasis kerakyatan, infrastruktur, budaya dan lainnya. Menurut Tony, pendidikan merupakan faktor yang sangat penting bagi bangsa ini khususnya bagi Papua.

"Ini adalah salah satu implementasi dari program pendidikan kita yaitu agar Uncen bisa mencetak lebih banyak lagi tenaga- tenaga, lebih banyak lagi hasil penelitian- penelitian dan juga kegiatan pengabdian masyarakat," kata Tony.

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Currently Freeport is directly involved in providing scholarships for around 12,000 indigenous Papuan children and managing six dormitories, including the Papuan Taruna Boarding School in Timika, which all educate Papuan natives. With the addition of the new building, it is hoped that Uncen will produce more qualified graduates who are ready to enter the job market and can even work at PT Freeport.

Currently there are more than 500 Uncen alumni working at Freeport.

Saat ini Freeport terlibat langsung dalam memberikan bantuan beasiswa bagi sekitar 12.000 anak-anak asli Papua dan mengelola enam asrama, termasuk Sekolah Asrama Taruna Papua di Timika yang seluruhnya mendidik putra-putri asli Papua. Dengan tambahan gedung baru tersebut, diharapkan Uncen lebih banyak menghasilkan para lulusan yang berkualitas yang siap masuk pasar kerja bahkan bisa bekerja di PT Freeport. Saat ini terdapat lebih dari 500 alumni Uncen yang bekerja di Freeport.

Increasingly Rampant, Coal Prices Back Up 3%

T

HE PRICE of coal is increasingly comfortable on the hiking trail. In trading on Wednesday (6/4/2022), the May contract coal price closed at US$ 289.35 per ton, up 3.34% compared to the previous day.

The price level of US$ 289.35/ton was the highest since March 15, 2022 or in the last 21 days at which time the price of coal touched US$ 303.35 per ton. The sharp increase also brought coal prices closer to the level of US$ 300/ton after weakening since mid-March.

In a week, the price of coal has strengthened 15.11% but in a month it is still down 32.48%. Within a year, the price of the black stone skyrocketed 226.95%.

The increase in coal prices was triggered by the European Union's policy which would prohibit 27 member countries from importing Russian coal.

Kian Merajalela, Harga Batu Bara Kembali Naik 3%

H

ARGA batu bara kian betah dalam jalur pendakian. Pada perdagangan Rabu (6/4/2022), harga batu bara kontrak Mei ditutup di level US$ 289,35 per ton, naik 3,34% dibandingkan hari sebelumnya.

Level harga US$ 289,35/ton adalah yang tertinggi sejak 15 Maret 2022 atau dalam 21 hari terakhir di mana pada saat itu harga batu bara menyentuh US$ 303,35 per ton. Kenaikan tajam tersebut juga kembali mendekatkan harga batu bara ke level US$ 300/ton setelah melemah sejak pertengahan Maret.

Dalam sepekan, harga batu bara sudah menguat 15,11% tetapi dalam sebulan masih turun 32,48%. Dalam setahun, harga si batu hitam meroket 226,95%.

Kenaikan harga batu bara dipicu kebijakan Uni Eropa yang akan melarang 27 negara anggotanya untuk mengimpor batu bara Rusia.

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The ban is part of a new round of sanctions against the Kremlin for war without reason against Ukraine. The European Union Commission will meet to finalize the import ban plan.

The import ban has forced European countries to seek supplies from other countries, such as Colombia, South Africa, Australia and Indonesia. This condition makes the demand for coal will be higher and the price will soar.

Based on data from the International Energy Agency (IEA), in 2020, global trade in thermal coal reached 978 million tons.

Indonesia is the largest exporter of thermal coal with a contribution of up to 40%.

Australia is in second place with a share of 20%, followed by Russia (18%), South Africa (8%), Colombia (5%), and the United States (2.55).

Last March 2022, European countries imported 7.1 million tons of thermal coal, up 40.5% year-on-year and the highest level since March 2019. Of this, 3.5 million tons were imported from Russia, which is a record high. since October 2020.

On a weekly basis, EU coal imports from Russia even soared two weeks ago.

According to Braemar ACM Shipbroking, in the period from 28 March to 1 April 2022, EU imports from Russia reached 887,000 tons.

"The disruption of trade patterns will make coal prices soar. This will also be an incentive for China and India to increase production," said Alex Stuart-Grumbar, an analyst with consultancy shipping company MSI, as quoted by Reuters.

Unfortunately, in the midst of increasing demand, large supplying countries such as Australia and Indonesia cannot increase their production in a short time. They admit that it is difficult to increase production to meet the supply left by Russia.

Pelarangan itu sebagai bagian dari babak baru sanksi terhadap Kremlin atas perang tanpa alasan kepada Ukraina. Komisi Uni Eropa akan bertemu untuk mematangkan rencana larangan impor tersebut.

Larangan impor membuat negara-negara Eropa mesti mencari pasokan dari negara lain, seperti Kolombia, Afrika Selatan, Australia, dan Indonesia. Kondisi ini membuat permintaan batu bara akan semakin tinggi dan harganya pun melambung.

Berdasarkan data Badan Energi Internasional (IEA), pada tahun 2020, perdagangan global batu bara thermal mencapai 978 juta ton.

Indonesia adalah eksportir terbesar untuk thermal batu bara dengan kontribusi hingga 40%. Australia ada di posisi kedua dengan porsi 20%, disusul kemudian dengan Rusia (18%), Afrika Selatan (8%), Kolombia (5%), dan Amerika Serikat (2,55).

Maret 2022 lalu, negara-negara Eropa mengimpor 7,1 juta ton batu bara thermal, naik 40,5% secara tahunan dan menjadi level tertinggi sejak Maret 2019. Dari jumlah tersebut, 3,5 juta ton diimpor dari Rusia, yang merupakan catatan tertinggi sejak Oktober 2020.

Secara mingguan, impor batu bara Uni Eropa dari Rusia bahkan melambung pada dua pekan lalu. Menurut Braemar ACM Shipbroking, pada periode 28 Maret-1 April 2022, impor Uni Eropa dari Rusia mencapai 887.000 ton.

"Adanya gangguan pola perdagangan akan membuat harga batu bara semakin melonjak.

Ini juga akan menjadi insentif bagi China dan India untuk menambah produksi," tutur Alex Stuart-Grumbar, analis dari konsultan perusahaan perkapalan MSI, seperti dikutip Reuters.

Sayangnya, di tengah meningkatnya permintaan, negara pemasok besar seperti Australia dan Indonesia tidak bisa meningkatkan pro- duksinya dalam waktu singkat. Mereka mengaku kesusahan menambah produksi untuk memenuhi pasokan yang ditinggalkan Rusia.

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"Lack of investment to increase capacity and increasing demand from Asia due to reduced Russian coal supply makes it difficult for producers to meet demand from Europe," said Brian Martin, strategist at Australia & New Zealand Banking Group Ltd., as quoted by Al Jazeera.

Indonesian producers also admit that they have difficulty increasing production even though several countries such as Italy, Poland and Spain have approached them to send coal.

"Indonesia's potential in fulfilling the European market left by Russia or more precisely European countries that have stopped supply from Russia, the opportunity still exists but it is not easy,"

said Executive Director of the Indonesian Coal Mining Association (APBI) Hendra Sinadia, to CNBC Indonesia.

Hendra explained that coal producers have limited equipment and costs to increase production. Shipping costs to Europe are also expensive, limiting exports.

So far, Indonesia's coal exports have been sent to Asian countries such as China, India, Japan, Malaysia, the Philippines, South Korea. Taiwan, Vietnam, Thailand, to Hong Kong. The ban on coal exports last January also affected coal production and has not returned to normal levels.

"Not many companies have slots left for 2022 exports," added Hendra.

Dileep Srivastava, director and Corporate Secretary of Bumi Resources, said that it was not easy for Indonesian coal producers to meet the supply left by Russia.

Indonesia's coal production is faced with a number of challenges such as weather.

Heavy rainfall and the La Nina phenomenon have had a major impact on coal production in Indonesia since December last year. CNBC INDONESIA RESEARCH TEAM (mae/mae)

"Kurangnya investasi untuk menambah kapasitas dan meningkatnya permintaan dari Asia karena pasokan batu bara Rusia berkurang membuat produsen kesulitan memenuhi permintaan dari Eropa," tutur Brian Martin, strategis dari Australia & New Zealand Banking Group Ltd, seperti dikutip Al Jazeera.

Produsen Indonesia pun mengaku kesulitan meningkatkan produksi meskipun beberapa negara seperti Italia, Polandia, dan Spanyol sudah mendekati mereka untuk mengirim batu bara.

"Potensi Indonesia dalam memenuhi pasar Eropa yang ditinggalkan oleh Rusia atau lebih tepatnya negara-negara Eropa yang meng- hentikan pasokan dari Rusia, peluang tetap ada tapi tidak mudah," tutur Direktur Executive Asosiasi Pertambangan Batubara Indonesia (APBI) Hendra Sinadia, kepada CNBC Indonesia.

Hendra menjelaskan produsen batu bara memiliki keterbatasan peralatan dan biaya untuk meningkatkan produksi. Ongkos pengiriman ke Eropa juga mahal sehingga membatasi ekspor.

Ekspor batu bara Indonesia selama ini dikirim ke negara Asia seperti China, India, Jepang, Malaysia, Filipina, Korea selatan.

Taiwan, Vietnam, Thailand, hingga Hong Kong. Larangan ekspor batu bara Januari lalu juga membuat produksi batu bara terdampak dan belum kembali ke level normal.

"Tidak banyak banyak perusahaan yang punya slot tersisa untuk ekspor 2022," imbuh Hendra.

Dileep Srivastava, direktur dan Sekretaris Perusahaan Bumi Resources, mengatakan tidak mudah bagi produsen batu bara Indonesia untuk memenuhi pasokan yang ditinggalkan Rusia. Produksi batu bara Indonesia dihadapkan pada sejumlah tantangan seperti cuaca. Curah hujan yang tinggi dan fenomena La Nina telah berdampak besar terhadap produksi batu bara di Indonesia sejak Desember tahun lalu. TIM RISET CNBC INDONESIA (mae/mae)

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Indonesia, Australia face limits in coal exports to Europe ahead of Russian ban

Reuters

I

NDONESIA and Australia, among the world’s top coal exporters, have hit their production limits and are unlikely to meet Europe’s demand for additional supplies if the European Union bans Russian coal imports, mining executives said on Wednesday.

The European Commission proposed on Tuesday new sanctions against Russia over its invasion of Ukraine, including a ban on buying Russian coal and on Russian ships entering EU ports, and said it was working on banning oil imports too.

The EU depends on Russia for around 45% of its coal imports, according to the European Commission website.

Before the EU proposal, some European buyers had already held talks with Indonesian miners in March as they sought to replace Russian supplies, a senior executive of Indonesia Coal Miners Association (ICMA) said.

“Miners cannot just increase production that quickly, it’s difficult and the capacity is already very tight,” ICMA chairman Pandu Sjahrir told Reuters on Wednesday.

Indonesia’s government this year targeted output of 663 million tonnes, a goal miners are already struggling to meet as unexpected export restrictions in January and prolonged wet weather hit output.

The country also has tightened supervision over its mandatory domestic sales after stocks fell to a critical low at local power generators.

The energy ministry estimated that Indonesia’s coal exports in January-March totalled 37.64 million tonnes, compared with 53.77 million tonnes in the same period last year.

In addition, European markets require mostly middle to high-grade coal while most Indonesian miners produce lower-grade coal, Hendra Sinadia, executive director of ICMA said. Freight costs for Indonesian coal to Europe are also not competitive versus other suppliers, he added.

The few miners who might have the space to expand their output will require government approval for additional production and exports, Hendra said. Such requests are typically submitted in April-June.

Indonesia’s monthly coal benchmark price has already surged to a record $288.40 per tonne for April due to high global demand.

Australia

In Australia, producers have fielded calls from buyers reliant on Russian coal and have been approached by the government to help coal buyers in allied countries, such as Poland, to replace Russian supply.

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While benefiting from soaring prices for metallurgical coal used in steel mills as well as thermal coal used in power generation, Australian miners are unable to boost output quickly, and most of their volumes are tied up in contracts to existing customers.

Australian output has been hit by floods in New South Wales and Queensland, covid-19 outbreaks and labour shortages, holding output below full capacity.

Total thermal coal exports for the year to June 2022 are expected to rise about 7% from a year earlier, when output was hit by China’s unofficial ban on Australian coal, to 206 million tonnes, then slip to 204 million tonnes in 2023, the government said in a quarterly report on Monday.

Miners were also unable to expand production in the near term as they face tough regulatory hurdles for new mines, community and farmer opposition to building new mines, as well as capital constraints. (By Fransiska Nangoy and Sonali Paul; Editing by Florence Tan and Kim Coghill)

Asia’s coal price jumps as EU’s Russia ban threatens supply

Indonesian miners were approached by potential buyers from European countries including Italy, Spain, Poland and Germany.

C

OAL prices in Asia jumped as Europe’s move to ban Russian imports of the fuel threatened to deliver a new global supply challenge.

Russia is the third-largest supplier of thermal coal and dominates sales to European nations, meaning there’ll be increased competition in a seaborne market that’s experienced unprecedented price swings this year after disruptions.

Newcastle coal futures for April jumped 6.4% to $281 a ton Tuesday, the biggest gain in almost two weeks, according to ICE Futures Europe. That follows a similar advance in Europe.

Prices are poised to extend gains as European consumers step up a hunt for alternatives to Russian coal.

Miners in Indonesia, the top shipper of coal for power stations, have been approached by some potential buyers from European countries including Italy, Spain, Poland and Germany, said Hendra Sinadia, executive director at the Indonesian Coal Mining Association.

It isn’t clear if the suppliers will be able to boost deliveries as they have limited spare capacity and are mandated to first prioritize local demand. Producers in Australia, another key exporter, have flagged they have limited ability to raise sales to Europe.

“A lack of investment in new capacity, and relatively strong demand in Asia leaves the market short of filling any gap left by cuts to Russian exports,” Australia & New Zealand Banking Group Ltd. strategists Brian Martin and Daniel Hynes wrote in a Wednesday note. Russia accounted for about 18% of global exports in 2020, they said.

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Tight markets for coal and natural gas have created energy shortfalls at a time when wind and hydro have been unreliable in some regions. Europe and Asia have been hit the worst, with skyrocketing prices, while there are threats of power shortages in emerging nations like Pakistan.

Rising electricity demand and a lack of new coal supply should keep prices elevated, said David Lennox, a resources analyst at Fat Prophets in Sydney.

Even before new sanctions, energy companies in Europe and some parts of Asia were avoiding additional purchases of Russian fuel, and seeking alternatives, in anticipation of further government measures against Moscow.

Asian coal prices had declined from a record over the last several weeks, with the Covid lockdowns in China — the top consumer — curbing factory activity and trimming fuel demand. Still, benchmark prices are more than two-and-a-half times higher than a year ago.

Thermal coal futures in Zhengzhou rose as much as 1.2 percent as of 11:15 a.m. local time.

China’s coal imports from Russia almost halved in March from the previous month, according to shipping data compiled by Bloomberg. Talks between Chinese importers and Russian miners last month on potentially boosting trade were focused on overcoming a lack of transport capacity, coal quality and obstacles to cross-border payments, according to the China Coal Transport and Distribution Association. Source: Bloomberg

PTT divesting from coal mining in Indonesia to focus on clean energy

T

HAILAND’s state-owned PTT Public Company Ltd is in the process of divesting its coal mining business in Indonesia as sales volume shrinks, while the company plans to focus more on clean and environmentally friendly technologies, it said in its latest investors’ presentation on April 2.

The development comes as the company’s sales volumes fell in 2021 even when demand for thermal coal rose amid supply-chain disruptions. Moreover, the Russia-Ukraine war has disrupted trade flows across the world leading to supply tightness and sharp jump in prices.

PTT operates its Indonesian coal mining business through its subsidiary Sakari Resources Co., which operates two mines — Jembayan and Sebuku.

The mines cumulatively sold volumes to the tune of 6.14 million mt in 2021, nearly 4% lower than 6.37 million mt in 2020.

“Sales volume dropped from lower production plan and ceased operation of the Sebuku coal mine,” the company said in its presentation.

The Jembayan mine produces 5,500 kcal/kg GAR coal with 0.7% sulfur and 7% ash content.

[Suyash Pande and Pritish Raj]

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Copper production in Peru up 0.4% in February 2022 - report

By Vladimir Basov

A

CCORDING to the Ministry of Energy and Mines of Peru (MINEM), copper production in Peru, the world’s second largest copper producing country, amounted to 172,334 tonnes in February 2022, or 0.4% higher compared to February 2021 (171,590 tonnes).

MINEM said that this increase is due to a higher production from the major copper mining companies operating in the country, including Sociedad Minera Cerro Verde S.A.A. (+13.4%) and Minera Las Bambas S.A. (+9.9%).

At the company level, Sociedad Minera Cerro Verde S.A.A. is first with a 19.7% share in total Peru’s copper output, followed by Compañía Minera Antamina S.A. (19.6%) and Southern Peru Copper Corporation (15.8%).

The ministry added that at the regional level, Arequipa (19.9%) climbed to first place, followed by Áncash (19.8%) and Apurímac (11.9%).

Europe increases supply of coal from around world

E

UROPE is ramping up coal shipments from around the world amid a proposed European Union ban on imports from Russia and a fight to reduce gas shortages, Reuters writes.

The European Commission on Tuesday proposed new sanctions against Moscow, including a ban on the purchase of Russian coal and a ban on Russian ships entering EU ports.

The new restrictions come at a time of uncertainty over future Russian gas supplies to the EU later this month after the Kremlin demanded that buyers start paying in rubles.

In March, European countries imported a total of 7.1 million tons of thermal coal, which is used to generate electricity and heat, up 40.5% from last year and the highest level since March 2019, according to an analysis by the broker Braemar ACM.

Braemar data showed that the EU imported 3.5 million tons of Russian thermal coal in March, the highest monthly figure since October 2020.

According to Braemar, the weekly period from March 28 to April 1 saw the highest level of Russian thermal coal imports since the invasion began on February 24, with 887,000 tons of Russian thermal coal imported into the EU.

Colombian thermal coal imports totaled 1.3 million tonnes in March, up 47.3% year-on-year, data from Braemar showed.

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U.S. imports totaled 809,000 tons in March, up 30.3% year on year and reaching the highest level since October 2019.

Imports from South Africa have also increased, with 287,000 tons arriving in March compared to no shipments in March last year.

Australia has also detected a renewed buying interest from Europe with thermal coal imports totaling 537,000 tons in the first quarter of this year, compared to no supplies for the same period in 2021.

But Indonesia and Australia, among the world's largest coal exporters, have reached their production limits and are unlikely to be able to meet Europe's need for additional supplies if the European Union bans Russian coal imports, mining executives said.

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