AMMAN Reports Q3/2023 Earnings Results - Bounced Back after the Challenging First Half of 2023

Press Release
AMMAN Reports Q3/2023 Earnings Results - Bounced Back after the Challenging First Half of 2023
Jakarta, 31 October 2023 – PT Amman Mineral Internasional Tbk (IDX: AMMN) (“AMMAN, the “Company,” or “We”), a company that operates the second largest copper and gold mine in Indonesia, Batu Hijau mine, today announced its third quarter of 2023 Financial and operational results. 

“Starting from the third quarter this year, we began to bounce back after the last seven months of this year impacted by inclement weather and delay in export permit extension. We focused on optimizing our operations, where the team broke historical records of monthly materials mined (including waste and ore). We have also started to blend fresh ore from Phase 7 in its production process. Our expansion projects also continued to progress on schedule, where the smelter construction through our subsidiary, PT Amman Mineral Industri (“AMIN”), surpassed the September target set by the Government,” said Alexander Ramlie, President Director of AMMAN. “Our commitment towards more sustainable operations is also reflected in our new initiatives that we started in Q3/2023. Our subsidiary, PT Amman Mineral Nusa Tenggara (“AMNT”) signed a Letter of Commitment with the Copper Mark. We also released our first sustainability Report for 2022. We also received two Subroto Awards 2023 and three Good Mining Practice Awards 2023 from Indonesia’s Ministry of Energy and Mineral Resources. These awards and recognitions become the catalyst for AMMAN to keep improving our sustainable practices in all aspects of our operations,” added Alex. 

“Our sales performance in Q3/2023 got back on track after receiving the export permit on 24 July 2023, where we accelerated the shipment of concentrate in Q3/2023 to catch up to the lost sales. We incurred higher compliance costs due to the delayed issuance of the export permit and various new regulations, such as the increase of export duty to 10 percent, smelter penalty, and IUPK non-tax government revenue (Penerimaan Negara Bukan Pajak or “PNBP”). We also have to set aside 30 percent of our export earnings each month in a special account for a minimum of three months as mandated by a recent rule of Bank Indonesia. Our Linancing strategy has been recalibrated to support these regulatory changes and the pace of capital expenditure for expansion projects.,” said Arief Sidarto, Director of Finance of AMMAN.
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