JAKARTA. PT Amman Mineral Internasional Tbk (AMMN), a copper and gold mining company, is preparing a capital expenditure (capex) budget of USD 2 billion or equal to approximately IDR 31.2 trillion this year.

According to Mandiri Sekuritas, conveyed in Mandiri Investment Forum 2024, said budget will be allocated by AMMN to expansion and maintenance activities. The capex budget will be taken out of loans.

AMMN is currently operating Batu Hijau mine located in Sumbawa, West Nusa Tenggara. The phase-7 reserves in Batu Hijau were at 37 million tons, and is projected to run out in 2024. Meanwhile, Phase-8 reserves, amounting to 458 million tons, are said to extend the mine life until 2030.

It is worth mentioning that AMMN is currently transforming into a fully integrated, miner-to-smelting company. This transformation will be complete after the company concludes the smelter project with total capacity of 900 thousand tons per year.

This project is targeted to be completed in May 2024 for the execution. The total budgeted fund for this smelter project is USD 1.1 billion, with realised budget of USD 600 million as of December 31, 2023. (KR/ZH)