JAKARTA (Yosefardi) – State miner PT Aneka Tambang (Antam) Tbk (ANTM) is committed to undertaking a prudent and conservative approach with regards to its capital spending.
Antam is also committed to maintaining its position as a key mining entity in the global mining space supported with its vast mineral reserves and resources.
With more than 974 million wet metric tons (wmt) of high grade and low grade nickel reserves and resources as well as more than 699 million wmt of bauxite reserves and resources, the foundation of management’s growth strategy is Antam’s existing ore reserves and mineral resources.
In line with the implementation of the new mining regulations, Antam is confident that commodity prices will continue to improve as supply/demand dynamics determine the direction of the market going forward.
As Antam’s balance sheet is currently being limited in terms of adding any unnecessary financial debt and further capital expenditure, Antam is evaluating its capital expenditure plans so that it is able to apply as little additional debt whilst still targeting to complete these projects which will result in value added capacity coming on stream as soon as possible.
Antam will also continue to focus on expanding its ferronickel capacity as well as bringing down ferronickel cash cost.
Moody’s Investors Services and Standard & Poors’s Rating Services have downgraded Antam’s corporate family rating from Ba3 to B2 and from B+ to B-.