Archi Indonesia, Gold Mining Company Owned By Conglomerate Peter Sondakh Earns Revenue Of Rp2.06 Trillion In Semester I 2021

Illustrations. (Photo: Doc. Instagram @lotusarchigold)

JAKARTA - PT Archi Indonesia Tbk (ARCI) posted performance growth in the first six months of this year. The revenue and profit of the gold mining company owned by conglomerate Peter Sondakh shot up in the first half of 2021.

ARCI's consolidated revenue rose 9 percent year-on-year (yoy) from US$130.1 million in the first semester of 2020 to US$142.4 million in the first semester of 2021 or around Rp2.06 trillion (exchange rate of Rp14,500 per US dollar).

Correspondingly, earnings before interest, tax, depreciation and amortization or earnings before interest, tax, depreciation, and amortization (EBITDA) increased 5 percent yoy to USD 75.5 million. Archi Indonesia's net profit increased 24 percent yoy to US$32.6 million compared to the same period last year.

President Director of PT Archi Indonesia Tbk Kenneth Ronald Kennedy Crichton said the financial performance of the owner of the Lotus Archi gold brand in the first half was driven by higher gold prices compared to the same period last year.

"We are in this period completing the development of advanced mining and waste removal activities from the Araren Pit which has a higher gold content, where we have successfully made the transition from stage 3 to stage 5," Kenneth said in a written statement, quoted by Antara, Sunday, August 1st.

During January-June 2021, the average grade of gold ore processed in the ARCI gold production process shrank further from 1.81 g/t to 1.66 g/t. As a result, ARCI's gold production fell 6 percent to 81.6-kilo ounces in the first semester of 2021. Previously, the realization of ARCI's gold production reached 86.4-kilo ounces in the same period last year.

However, ARCI benefited from the average selling price of gold reaching US$1,802 per ounce in the first half of 2021. This figure increased by about 9 percent compared to the average gold price for the same period last year which was US$1,656 per ounce.

Archi Indonesia hopes that the company's gold production in the second half of this year can reach 138-kilo ounces - 148-kilo ounces, higher than gold production in the second half of last year which was 120-kilo ounces.

Thus, said Kenneth, ARCI's total gold production for the full year of 2021 will reach 220-kilo ounces - 230-kilo ounces, or grow 5-10 percent compared to last year's production realization.