Jakarta, Indonesia Sentinenel — Two members of Indonesia’s state-owned mining holding MIND ID, PT Aneka Tambang Tbk (Antam) and PT Freeport Indonesia (PTFI), are intensifying their collaboration to strengthen Indonesia’s domestic gold supply chain. This enhanced synergy is marked by a new sales agreement in which Antam will purchase 30 tons of gold bullion with a 99.99% purity level from Freeport, which will then be processed into Antam-branded precious metal products at its Precious Metals Processing and Refining Plant.
Erick Thohir, Indonesia’s Minister of State-Owned Enterprises (BUMN), praised the “Sinergi Indonesia Emas” initiative, emphasizing that the partnership will boost Indonesia’s self-sufficiency and elevate its global standing.
Currently, Indonesia ranks as the 43rd-largest holder of gold bullion reserves. “Through this cooperation, we see MIND ID, along with Antam and Freeport, synergizing for the nation’s benefit. This is just the beginning—we are also exploring further opportunities, including the establishment of a Bullion Bank,” Thohir stated at the signing ceremony on Friday, November 8, 2024.
Hendi Prio Santoso, CEO of MIND ID, expressed that the company has a mandate to manage and enhance the value of Indonesia’s mineral resources through a fully integrated mining-to-manufacturing supply chain.
He emphasized that MIND ID consistently seeks opportunities for synergy within its group, as well as with national and global partners in the mining sector.
“This partnership between Antam and Freeport Indonesia strengthens MIND ID’s business base, allowing it to serve as the backbone of Indonesia’s mineral resource downstreaming efforts,” Hendi said.
Hendi highlighted the economic benefits for Indonesia, particularly in foreign exchange savings by reducing the reliance on imported raw gold.
“This synergy means that Indonesia can conserve foreign reserves by sourcing gold domestically, benefiting the Indonesian people who can now utilize local resources from raw materials to finished products,” he noted.
PTFI, one of Indonesia’s primary gold producers, has a refining capacity of 50-60 tons per year. Meanwhile, Antam is the only MIND ID entity with an established end-user market in Indonesia, selling 26.1 tons of gold in 2023.
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Through this collaboration, Freeport secures a stronger distribution channel, and Antam ensures a reliable domestic gold supply to meet Indonesia’s growing investment demands.
“This synergy will be a model moving forward for MIND ID members, showcasing how we can optimize the domestic supply chain for national benefit,” Hendi concluded.
(Becky)
