Mineral mining, particularly gold, continues to attract a number of mining companies. Besides being part of a diversification strategy to balance corporate portfolios, gold is considered a strategic commodity with high economic value and sustainability. In fact, gold is projected to become a key business pillar in the future.
One such initiative is PT United Tractors Tbk (UT). Already owning gold mines through two subsidiaries, PT Agincourt Resources (Martabe mine in North Sumatra) and PT Sumbawa Juntaraya (West Nusa Tenggara), UT is expanding its gold mine holdings.
On Friday (September 12, 2025), UT signed a conditional sale and purchase agreement ( CSPA) to acquire PT Arafura Surya Alam (ASA). ASA is a gold mining company with a mining operation-production permit in the Doup Block, North Sulawesi.
Because it is still in the CSPA stage, the value of the acquisition has not been disclosed. “The transaction will close at the end of 2025. We are acquiring it through (UT subsidiary) PT Danusa Tambang Nusantara. Financing will come from internal sources,” said United Tractors Investor Relations Head Ari Setiyawan at UT’s Corporate Update in Jakarta on Thursday (September 25, 2025).
Following the acquisition, UT plans to build a processing plant and supporting infrastructure. The facility is targeted to produce 140,000-150,000 ounces of gold per year. Production is targeted to begin in 2028. The Doup mine is expected to contribute to the company’s revenue that year.
“How big will the contribution be? It will depend on the gold price. By 2028, the UT Group’s gold production capacity will increase approximately 1.5-fold,” said Ari.
As of August 2025, UT’s gold equivalent sales from Agincourt and Sumbawa Jutaraya reached 161,000 ounces, an 11 percent increase from the same period last year. UT’s gold equivalent sales throughout 2024 reached 232,000 ounces.
The acquisition of the Doup gold mine is expected to balance the company’s portfolio. Based on the company’s financial summary for the first half of 2025, mining contracting was the largest revenue contributor, followed by construction machinery, and thermal and metallurgical coal mining. After that, gold mining and other minerals, including nickel, were added.
Specifically for nickel, UT only entered the nickel business in 2023, through a majority stake in PT Stargate Pacific Resources in Konawe, Southeast Sulawesi. UT then invested in Nickel Industries Limited, with a 20 percent stake.
Another company increasingly serious about gold mining is PT Indika Energy Tbk. Previously, Indika Energy relied on its core business, coal mining, through its subsidiary, PT Kideco Jaya Agung. In recent years, Indika Energy has actively pursued non-coal businesses, including gold.
In 2023, Indika Energy secured a five-year credit facility of US$250 million to fund the development of the Awak Mas mine project. Commercial operations and production at the Awak Mas mine are targeted to begin in the second half of 2026. Production is targeted at 100,000-120,000 ounces of gold per year.
Indika Energy’s Head of Corporate Communications, Ricky Fernando, stated that the Awak Mas mine is expected to become a key pillar in strengthening Indika Energy’s non-coal revenue portfolio. “The impact will be felt gradually, as operations stabilize and cost efficiencies are achieved,” he said.
Meanwhile, PT Merdeka Gold Resources Tbk (MGR) officially listed on the Indonesia Stock Exchange (IDX) under the ticker symbol EMAS on Tuesday (September 23, 2025). MGR manages the Pani Gold Project in Pohuwato Regency, Gorontalo, which has potential gold resources of up to 7 million ounces, making it one of the largest primary gold mines in Indonesia.
The project is designed as a low-cost mine with a long life and peak production of up to 500,000 ounces per year. First gold production is scheduled for the first quarter of 2026.
Through this initial public offering (IPO), MGR is strengthening the company’s financial foundation. “This step will support the development of the Pani Gold Project and provide added value for all stakeholders, including the communities in our operational areas,” said MGR President Director Boyke P. Abidin.
MGR is a subsidiary of PT Merdeka Copper Gold Tbk (MDKA), which manages several mining projects, including the Tujuh Bukit Gold Mine in Banyuwangi, East Java. In recent years, MDKA has diversified into the nickel business, encompassing the mining and processing of nickel ore and a number of derivative products.
Previously, Singgih Widagdo, Chairman of the Indonesia Mining & Energy Forum (IMEF), stated that gold mining still holds considerable promise, despite the relatively long exploration period. Furthermore, gold products can be developed without immediate export. “Gold still has potential and prospects. Furthermore, gold can also serve as a foreign exchange reserve , ” he said.
On the other hand, illegal mining, including gold mining, remains a significant problem in Indonesia. However, Singgih stated, illegal mining cannot be justified and must be eradicated. The environmental damage could increase significantly if such practices persist.
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