Indonesia's foreign direct investment surged 44.2% on a yearly basis in 2022, with the base metals sector drawing in the biggest inflows, the investment minister said on Tuesday, noting 2023 would be a more difficult year to attract investment. Southeast Asia's largest economy received 654.4 trillion rupiah worth of FDI last year, or equivalent to $45.6 billion in the investment ministry's official calculation, which assumes an exchange rate of 14,350 to the dollar.The resource-rich country has been trying to capitalise on its abundant nickel reserves to develop battery and electric vehicle industries at home. Once a major exporter of nickel ore, it stopped outbound shipments of the raw material in 2020 to make sure investors have enough for domestic processing.Foreign direct investment in base metals and mining reached $11 billion and $5.1 billion, respectively, last year, the biggest recipients of FDI. The biggest sources were Singapore, China and Hong Kong. Total investment, including from domestic sources, reached 1,207.2 trillion rupiah ($81.02 billion), he said, roughly in line with the government's target. This year's investment target is 1,400 trillion rupiah.Source: https://www.reuters.com/markets/asia/indonesias-fdi-jumps-2022-led-by-mineral-processing-2023-01-24/

PT United Tractors Tbk (UNTR) will channel a loan of IDR 4 trillion to its subsidiary, PT Pamapersada Nusantara (PAMA).Sara K. Loebis, Corporate Secretary of UNTR, revealed that the facility will be available for withdrawal until December 16, 2023. “The company and PAMA signed the addendum of the initial agreement yesterday (19/1), agreeing on the availability of the funds throughout last year,” she added, as quoted Tuesday (23/1).Said loan is equipped with an interest rate of JIBOR + 3.2% per year. The facility will be used to enhance PAMA’s working capital. The parties agreed that this facility will bring more benefits for PAMA compared to the third party.UNTR controls 99.99% of PAMA, while PT United Tractors Pandu Engineering claims another 0.005%. (LK/ZH)Source: https://www.idnfinancials.com/news/45757/untr-sets-idr-loans-pama

Gold mining company J Resources Asia Pasifik Tbk (PSAB) has teamed up with Deloitte Consulting as a partner in an effort to improve technology infrastructure and encourage innovation when entering a new growth phase with digital transformation. Regent Chowin, Head of System & Information Management at PT J Resources Nusantara, said that with Oracle Cloud ERP, Oracle Cloud EPM, and Oracle Cloud HCM, he is trying to streamline business operations, gain deeper financial insights, and position the company for expansion into the new era. new."Cloud-led transformation is critical for our organization to scale operations quickly, drive innovation, create a real-time view of all our resources and projects, ensure cost efficiencies, and implement strong security measures for business continuity." Regent Chowin in a written statement in Jakarta, Tuesday.J Resources Asia Pasifik Tbk (J Resources) is an Indonesia-based holding company listed on the Indonesia Stock Exchange. The company operates, mines, explores and invests in the gold mining sector through its subsidiary J Resources Nusantara. Regent Chowin said that after evaluating applications from multiple vendors and technologies, J Resources chose Deloitte and Oracle Cloud ERP because of their ability to provide a comprehensive view of data from every part of their business, while gaining the critical insights needed to improve their accounting processes.It was explained that it chose Oracle Cloud EPM to improve financial planning, forecasting and execution. In addition, the artificial intelligence and machine learning capabilities built into the Oracle Fusion Cloud Applications Suite will allow J Resources to reduce time spent on administrative processes so they can focus on more strategic and innovative work. J Resources has also selected Oracle Fusion Cloud Human Capital Management (HCM) to automate its human resources (HR) systems and help improve business processes.The deployment will provide enterprises with scalable, cloud-based technologies to help streamline processes and leverage data to plan, manage, and optimize people's processes with one common data source. Along with implementation, J Resources is on the right track to digitize human resource processes and improve HR workflow.Source: https://www.antaranews.com/berita/3362595/j-resources-gandeng-deloitte-consulting-percepat-transformasi-digital

PT Kobexindo Tractors Tbk ( KOBX ), an integrated heavy equipment provider, posted sales growth of 41% in 2022 to US$ 168.5 million, compared to sales in the previous year of US$ 119.3 million. This figure is a provisional figure and is still awaiting the results of the audit (unaudited). This growth was contributed by sales of mining and non-mining heavy equipment marketed by KOBX. The sales result is also KOBX's highest achievement in the last five years."This achievement is inseparable from our strategy to optimize sales of heavy equipment units, both mining and non-mining, which are in our business segment," said Martio, Deputy Main Director of Kobexindo Tractors in a press release received by Kontan, Monday (23/1). The high demand for KOBX heavy equipment cannot be separated from the high prices of mining commodities which started in 2021. In 2022, despite adjustments to commodity prices, the prevailing prices will still benefit mining owners to increase production quotas to meet demand for mining materials.The improvement in the economy after the Covid-19 pandemic which led to easing of activities while still paying attention to health and safety procedures was also a positive catalyst for KOBX's performance growth.  "This triggers the mining, industrial, logistics and construction business sectors which are our target markets," explained Martio. Throughout 2022, KOBX Management recorded several points that must be considered in order to sustain sustainable growth in 2023 and the coming years, especially those related to the supply of heavy equipment units.These include the production capacity of heavy equipment manufacturers, the price of heavy equipment raw materials such as steel, limited fleets and increased logistics or transportation costs to meet demand spikes, levels of consumer demand, increases in benchmark interest rates, fluctuations in the exchange rate of the US dollar against the rupiah, and the threat of impact. global recession.KOBX has taken anticipations such as an inventory strategy by projecting customer orders in the next few months, securing heavy equipment supply as has been done with Doosan and NHL Terex, Mercedes Benz, as well as a pricing strategy. KOBX is optimistic that business growth in 2023 will continue the growth momentum of previous years. This is supported by sales of superior product lines that are reliable and have a high level of efficiency."In addition, we are supported by after-sales service and the availability of spare parts at 13 points of the company's branch offices so that we can provide the best for our customers," said Martio. To support its growth strategy in 2023, KOBX has prepared a capex of US$ 4 million to support operations and rejuvenation of heavy equipment rental units.  In addition, KOBX has prepared several new products to be introduced in 2023 to strengthen its product line, both mining and non-mining heavy equipment.Source: https://industri.kontan.co.id/news/kobexindo-tractors-kobx-raih-kenaikan-penjualan-alat-berat-41-pada-2022

PT Indika Energy Tbk ( INDY ) is targeting coal production of 32.8 million tons throughout 2023. The majority of this coal production comes from PT Kideco Jaya Agung (Kideco). "In 2023, the coal production target is 32.8 million tonnes, of which 31 million tonnes will come from Kideco and 1.8 million tonnes from Multi Tambangjaya Utama (MUTU)," said Indika Energy's Head of Corporate Communication , Ricky Fernando to Kontan. co.id, Friday (20/1). According to Kontan.co.id's previous records, Indika Energy has set a coal production volume in 2022 of 34 million tonnes. This means that when compared to the target in 2023 there is a decrease in coal production volume of 3.52% year on year (yoy).  Citing the results of financial reports until the end of September 2022, INDY recorded revenue growing by 57.2% yoy to US$ 3.13 billion driven by higher coal prices with the average ICI-4 benchmark increasing to US$ 84.6/ tons or higher 51.1% yoy. Kideco's revenue grew by 49.1% yoy to US$ 2.21 billion at the end of September 2022 driven by a higher average selling price, which rose 55.4% yoy to US$ 84.2/ton.  At the end of September 2022 Kideco sold 26.3 metric tons of coal by volume, down 4.1% yoy. However, INDY's management stated that, despite the decline, this realization was still in line with the 2022 production target of 34 million tons with 72% volume for exports and 28% for the domestic market.In the 9 month period of 2022, Indika Resources revenue increased 113.3% yoy to US$ 628.4 million driven by higher average selling price (ASP) at Multi Tambangjaya Utama (MUTU) and coal trading . On the other hand, coal trading volume is also higher.  In detail, MUTU's revenue rose 119.0% yoy to US$ 231.1 million, due to an increase in ASP of 129.9% yoy to US$ 193.3/ton, with sales volume of 1.2 million tonnes of coal. This realization decreased by 4.9% due to the export ban in January 2022 and several other challenges experienced in transportation.Coal trading revenue at the end of September 2022 jumped 110.0% yoy to US$ 397.3 million, supported by an increase in ASP of 58.5% yoy to US$ 75.3/ton and 32.4% increase in annual volume to 5.2 million tonnes. The gross profit rose 109.1% yoy to US$ 1.08 billion and the consolidated gross profit margin increased to 34.7% from 26.1% in the same period last year, mainly driven by higher coal prices. Operating income jumped 120.1% yoy to US$ 935.3 million and operating margin increased to 29.8% from 21.3%.  Through this increase in revenue, INDY posted profit attributable to company owners of US$ 338.4 million from a net loss of US$ 6.0 million at the end of September 2021. Source: https://industri.kontan.co.id/news/indika-energy-indy-bidik-produksi-batubara-328-juta-ton-pada-2023

PT Pertamina (Persero) is ready to develop an electric vehicle (EV) battery ecosystem in Indonesia by optimizing nickel reserves. "We are confident that with nickel reserves in Indonesia, we can produce batteries and increase EV penetration," said PT Pertamina Main Director Nicke Widyawati at the Indonesian Pavilion, World Economic Forum in Davos, Switzerland, as quoted from a written statement received in Jakarta, Sunday.According to him, Pertamina has infrastructure that can be optimized for EV penetration and has segmentation data on characteristics, mobility and purchasing power. Apart from that, Pertamina also has more than 7,400 gas stations, 6,100 Pertashops, and 63,000 LPG outlets. Pertamina is also ready to collaborate with other parties from various countries to develop EV batteries and optimize its infrastructure. This commitment is also in line with the recommendations put forward by the Business 20-Task Force Energy, Sustainability, and Climate/B20-TF ESC, one of which is proposing policy recommendations to accelerate the development of the electric vehicle (EV) ecosystem. "We propose several policy recommendations and policy actions, especially how to accelerate EV penetration in each country," said Nicke, who also served as Chair of the B20-TF ESC during the G20 in 2022. In the event entitled "Indonesia Economic Development Through Downstream Industries and Inclusive Partnership", Nicke revealed the policy recommendations, including accelerating the use of sustainable energy, ensuring a fair and affordable transition, and increasing energy security.To accelerate the use of sustainable energy, he said, Pertamina is targeting energy efficiency with electrification to be a determining factor for success. "There are demand-side energy efficiency targets, how to manage demand-side energy efficiency and we believe electrification is a key success factor," he said.In addition, he also highlighted the need for financing, especially from developed countries, bearing in mind that the energy transition to renewable energy requires enormous capital investment so investment support is needed from developed countries. Next, the second policy recommendation, namely the need to ensure a fair and affordable transition. In this recommendation, he highlighted the need to prepare for a just transition from the sectors affected by the energy transition to related sectors.He mentioned the need to ensure sustainable practices in accessing minerals to build new energy infrastructure that is clean and low carbon, including electric vehicles. The third recommendation is the need to increase energy security. "We need frameworks and regulations such as incentives to promote and accelerate the EV ecosystem," he said. B20-TF ESC is a business community that supports the G20 with impactful and actionable policy recommendations from a business perspective. B20-TF ESC has more than 150 members, with eight co-chairs selected from several countries with different types of energy.Meanwhile, the Minister of Investment//Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia said the development of the EV ecosystem in Indonesia had started by involving foreign companies and BUMN, including Pertamina. There are at least four companies that have investment plans in Indonesia to support EV development, namely LG, CATL, Foxconn and BritishVolt. According to Bahlil, the government welcomes serious investors coming to Indonesia by providing easy licensing facilities and tax incentives.Source: https://www.antaranews.com/berita/3360303/pertamina-siap-kembangkan-ekosistem-baterai-ev-dengan-optimalkan-nikel

PT Intraco Penta Tbk ( INTA ) allocates Rp 84 billion for capital expenditure for 2023. INTA Corporate Secretary Astri Duhita Sari revealed that most of the capital expenditure funds were used to purchase heavy equipment. "(This) is for the renewal of the rental fleet ," explained Astri to Kontan, Wednesday (11/1). Astri added, until the end of 2022 the company estimates that sales will reach IDR 643 billion. The mining sector, especially coal and nickel, is the main support for heavy equipment sales by INTA for 2022.As an illustration, until the third quarter of 2022 INTA posted sales of IDR 497.16 billion. This achievement increased 12.01% year on year (YoY) from the same period in the previous year which amounted to IDR 443.78 billion. In addition, INTA recorded total assets of IDR 2.38 trillion, or a decrease of 2.4% compared to total assets in 2021 of IDR 2.44 trillion. On the other hand, INTA also recorded a comprehensive net loss until the third quarter of 2022 of IDR 99.56 billion. Astri confirmed that this year the company is targeting an increase in sales.   "For 2023, it is projected that total sales will be Rp 1.2 trillion," said Astri. The coal and nickel mining sector will still be one of the main pillars for heavy equipment sales this year.Source: https://industri.kontan.co.id/news/sektor-tambang-batubara-dan-nikel-jadi-penopang-utama-penjualan-alat-berat-inta

The Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia is ready to oversee Siemens Energy's investment in Indonesia, particularly in the energy transition sector. In his meeting with the President and CEO of Siemens Energy, Dr. Ing-Christian Bruch on the sidelines of the 2023 World Economic Forum in Davos, Switzerland, Tuesday (17/1), Bahlil emphasized Indonesia's current commitment to transitioning energy towards green energy, in line with the increasing demand for green energy at the global level."I give Siemens Energy the greatest appreciation for all our cooperation so far, especially regarding the energy transition, we have abundant natural resources such as wind, solar and water, as well as a large enough area that can be utilized as much as possible," he said in a statement. statement in Jakarta, Thursday. Siemens Energy Global Gmbh Co.KG has signed an MoU with PT Multi Fabrindo Gemilang (Multifab) for investment cooperation in the energy transition sector, which was carried out on the sidelines of the G20 activities in Bali on 10 November 2022.Siemens Energy's investment value is estimated at € 70-100 million or equivalent to IDR 1 trillion - IDR 2 trillion. On that occasion, Bahlil also offered investment opportunities for the solar panel equipment industry to Siemens Energy. He said Indonesia has abundant raw materials at competitive prices, and the final product can be marketed both in the domestic market and for export.CEO of Siemens Energy Dr. Ing-Christian Bruch said that Indonesia is an important country for Siemens Energy. Therefore, his party wants to further optimize the investment opportunities that exist in Indonesia. Christian also appreciates the support that has been given by the Government of Indonesia to Siemens Energy and is committed to not only seeking business opportunities for the Indonesian domestic market but also for export purposes."We want to contribute to Indonesia's development, especially in relation to the green energy transition. Indonesia is the largest economic power in Southeast Asia, especially related to energy. We will develop a roadmap for cooperation between Siemens Energy and the Government of Indonesia in pushing for the energy transition and how in the future we can create an energy source that is not only environmentally friendly but also affordable to the wider community," said Christian.Siemens Energy is a business division of global technology company Siemens that focuses on products and solutions in the fields of energy generation, transmission and distribution. With this collaboration, in the future Indonesia can become a driver of the energy transition in the Asia-Pacific region as a producer to serve the domestic market and neighboring countries.Source: https://www.antaranews.com/berita/3355791/bahlil-siap-kawal-investasi-siemens-energy-dukung-transisi-energi

On the sidelines of the 2023 World Economic Forum (WEF) Annual Meeting, two European companies Badische Anilin-und Soda-Fabrik ( BASF ) and Eramet will soon realize their nickel refining investment plan in North Maluku or the Sonic Bay project whose investment value reaches 2.4 billion euros or the equivalent of IDR 39.1 trillion (IDR 16,706 per Euro).  BASF Chief Executive Officer Martin Brudermüller said that BASF's investment process in Indonesia was able to run well, especially in terms of obtaining permits because it received support from the Ministry of Investment or the Investment Coordinating Board (BKPM). The investment plan in question is the construction of a nickel refining plant with High Pressure Acid Leach (HPAL) technology that produces Mixed Hydroxide Precipitates (MHP) in the Teluk Weda Industrial Area, North Maluku. The project, named Sonic Bay, is being worked on by BASF together with the French multinational mining and metallurgical company, Eramet. "We would like to convey that our agreement with Eramet is at the final stage, it is likely that our decision will be taken in the first half of 2023," he said in a meeting with Investment Minister/Head of BKPM Bahlil Lahadalia at the Indonesia Pavilion 2023 in Davos, Switzerland, Tuesday (17/ 1). Brudermüller added that the investment value that BASF and Eramet will make is estimated at around 2.4 billion euros. According to him, the downstream project is expected to be able to directly create as many as 1,000 jobs. Also Read: Luhut and Bahlil Inaugurate the Opening of the Indonesia Pavilion at WEF 2023 Davos "We really appreciate the support from the Ministry of Investment/BKPM so that our investment process runs smoothly. We also plan to make follow-up investments." he added. The Sonic Bay project is expected to reap an investment value of up to US$2.2 billion–US$2.6 billion with a production capacity of 67,000 tons of nickel/year and 7,500 tons of cobalt/year. BASF's follow-up investment plan aims to produce MHP as an electric battery precursor. Bahlil encouraged BASF's plan to invest in nickel refining for the development of electric vehicles in North Maluku to be realized soon. Bahlil added that BASF's investment plan in Indonesia is in line with the government's priority projects related to downstream mining. The plan. BASF will work with Eramet, which already has business legality on behalf of PT Eramet Halmahera Nickel.   "I fully support BASF's investment plan in Indonesia, especially in supporting the development of the electric vehicle battery ecosystem. This is in line with the aspirations of our country's government which wants to make Indonesia a world-class electric vehicle player," he explained. He said that BASF's nickel refining plant will be located in North Maluku, which is the source of nickel raw materials. "We at the Ministry of Investment/BKPM will oversee all BASF investment processes from start to finish so that this project can be implemented immediately," said Bahlil. BASF is a multinational company from Germany and the world's largest chemical producer with a business portfolio in six segments, namely chemicals, materials, industrial solutions, surface technologies, nutritional solutions and agriculture. In 2021, BASF generates sales of 78.6 billion euros or around IDR 12.8 trillion.In Indonesia, BASF has been investing since 1976. BASF solutions contribute to the success of Indonesian customers in almost all industries, including agriculture, food, home and personal care, automotive, paints and coatings, and basic chemicals. BASF Indonesia has production plants in Cengkareng, Cimanggis and Merak. In 2021, BASF recorded sales of around 567 million euros for customers in Indonesia. On 1 January 2023, BASF Indonesia appointed Christofer Arisandy as President Director to replace Agus Ciputra who took on a regional role. Christofer Arisandy has 20 years of experience in the chemical industry and started his career at BASF since 2003. "I believe BASF will further strengthen its strategic position in Indonesia and will continue to take advantage of domestic and international growth opportunities," said Christofer Arisandy.  Source: https://ekonomi.bisnis.com/read/20230118/9/1619274/wef-2023-davos-ceo-basf-update-investasi-smelter-nikel-senilai-rp39-triliun

Australia's Nickel Industries (NIC.AX) will raise $471 million in capital to help fund the acquisition of several nickel projects in Indonesia, the company said on Wednesday, adding that it will also develop nickel for the battery sector. To develop battery nickel, the company will also look to collaborate with Shanghai Decent Investment (Group) Co Ltd, a unit of one the world's biggest nickel producers Tsingshan Group.Nickel Industries said it aims to transform its business from a historical focus on the stainless-steel market to being a leading producer of battery grade "Class 1" nickel, through the collaboration as well as acquisitions. As part of its buyouts, the company said it will buy 10% stake in Indonesia-based PT Huayue Nickel Cobalt for $270 million from Newstride Development Ltd, an entity within China's Tsingshan Group.It will also spend $70 million for a 10% interest in the Oracle Nickel Project in Indonesia, a project where it already has a 70% shareholding. The equity raising will comprise a share placement worth $185 million at A$1.02 per share, representing a 8.9% discount to the stock's last close price of A$1.12. The company will raise $270 million from Newstride Development.Source: https://www.reuters.com/markets/deals/nickel-industries-set-raise-471-mln-buy-nickel-assets-2023-01-18/