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United Tractors acquires 95% Agincourt shares for US$1 billion

Image credit : Agincourt

JAKARTA (RambuEnergy.com) – In addition to its current portfolio business in heavy equipment, mining contracting, mining concession, construction industry and energy, PT United Tractors Tbk (IDX:UNTR) as one of the leading heavy equipment distributor in Indonesia, has successfully diversified its business through gold mine acquisition.

The company through its wholly own subsidiary, PT Danusa Tambang Nusantara, on Dec. 4, 2018 has completed the acquisition of 95% shares in PT Agincourt Resources, a mining company engaged in the exploration, mining, and mineral processing of gold in North Sumatra, for approximately US$1.0 billion.

Upon completion of this transaction, PT Agincourt Resources is 95% owned by PT Danusa Tambang Nusantara, while the remaining 5% is held by PT Artha Nugraha Agung, which is owned by local government.

“The acquisition of PT Agincourt Resources is part of the Company’s strategic portfolio diversification and expansion in other mineral fields, including gold,” President Director of United Tractors, Gidion Hasan said.

“In the future, the company expects to have a more balanced business portfolio that will generate sustainable earning contribution in the long term,” he said.

Martabe Gold Mine
Martabe Gold Mine is located in North Sumatra in the District of South Tapanuli. The construction of Martabe Gold Mine was commenced in 2008 and production of gold and silver was commenced in 2012.

As of December 2017, the mineral resource of Martabe Gold Mine was around 8.8 million ounces of gold, and estimated gold reserve was 4.7 million ounces.

In 2017, Martabe Gold Mine sold around 352,000 ounces of gold.

Most of the mine’s support facilities are located adjacent to the trans-Sumatran highway and close to a number of villages that belong to the sub-district of Batangtoru.

The mine operational area is centerd on the Purnama open-cut mine and a conventional carbon-in-leach (CIL) gold ore processing plant with a design capacity of 4.5 million tonnes of ore per annum.

The company said there are six defined mineral deposits at the Martabe Gold Mine. Purnama is the largest, and the first to be mined. Mining at the nearby Barani deposit is scheduled to commence soon. These deposits are of a type known as high sulphidation epithermal deposits and comprise part of a large-scale mineralised district which has the potential to host further gold and gold-copper deposits.

Written by Roffie Kurniawan (email: roffie.kurniawan@gmail.com)

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