Working on Underground Mining, Freeport Provides Rp 19.1 Trillion

JAKARTA, KOMPAS.com – PT Freeport Indonesia (PTFI) is focusing on developing underground mines (undergeound mine) Grasberg. This was done considering that it was finished proposal in open mines (open pit) Grasberg.

President Director of PTFI, Tony Wenas admitted that currently the company’s production capacity only reaches 60 percent of normal conditions, because reserves are in open pit has run out and only removes from backup storage.

“I think our production plan is around 800 million pounds of copper and 800,000 ounces of gold,” he said, in a virtual discussion, Monday (17/8/2020).

Also read: As a result of Covid-19, Freeport Smelter Construction Stopped for 5 Months

Nevertheless, Tony confirmed that his party would increase production next year, through mining carried out in underground mine Grasberg.

To realize this step, this year PTFI has prepared funds of 1.3 billion US dollars or Rp 19.1 trillion (assuming an exchange rate of Rp 14,700 per US dollar) for development. underground mine.

“Next year we believe our target will increase and we believe this can be achieved. Next year we will produce 1.4 billion pounds of copper and 1.4 million ounces of gold,” said Tony.

On the same occasion, Tony explained, his party had carried out various forms of operational efficiency to maintain the health of the company’s cash flow in the midst of the Covid-19 pandemic.

He said the efficiency that has been carried out has saved the company’s investment budget of up to hundreds of millions of US dollars.

“Of course this is part of what corporations usually do,” he said.

Also read: Freeport Boss Admits Smelter Development is Not Profitable

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