Daily News Update Page 1

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Being the world's largest producer, Indonesia produced 2,668,000 tonnes of nickel in 2019 Jadi produsen terbesar dunia, Indonesia produksi 2.668.000 ton nikel di 2019 Why is it difficult for smelter entrepreneurs to enforce the nickel benchmark price rule? Mengapa Pengusaha Smelter Sulit Jalankan Aturan Harga Patokan Nikel? Whew, Inalum Cs Builds Electric Car Battery Factory Rp178 T Wuih, Inalum Cs Bangun Pabrik Baterai Mobil Listrik Rp 178 T INCO is optimistic that nickel production can reach 73,000 tons by 2020 INCO optimistis produksi nikel bisa capai 73.000 ton pada 2020 Downstream efforts are expected to become a new paradigm for the national coal mining industry Upaya Hilirisasi Diharapkan Jadi Paradigma Baru Industri Pertambangan Batu Bara Nasional Indonesia's Nickel Smelter Production is Still Dominated by Second Class Products Produksi Smelter Nikel Indonesia Masih Didominasi Produk Kelas Dua The Coal Industry Has Difficulty Funding, What's Wrong? Industri Batu Bara Kesulitan Pendanaan, Ada Apa ya? Not Antam or INCO, this is the biggest player in the national nickel market share Bukan Antam ataupun INCO, ini penguasa terbesar pangsa pasar nikel nasional Working on the Hundred Trillion EV Battery Project, Antam's (ANTM) Shares Soar Garap Proyek Baterai EV Ratusan Triliun, Saham Antam (ANTM) Melonjak

Kontan Bisnis CNBC Indonesia Kontan Dunia Energi Bisnis CNBC Indonesia Kontan Bisnis

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China vs Australia Increasingly Tense, Confusing Coal Prices China vs Australia Makin Tegang, Bikin Kacau Harga Batu Bara Indonesia to create firm to build up electric vehicle battery industry China’s reported ban on Australian coal escalates dispute beyond mere nuisance BHP Nickel West ponders Tesla partnership South Africa’s mining production down 3.3% in August China’s coal imports from Australia expected to be stable this year: analyst Oyu Tolgoi hits the Copper Mark Venezuelan coal exports rise as U.S. escalates oil sanctions

CNBC Indonesia Reuters Mining.com Australian Mining Mining Weekly Global Times Int'l Mining Reuters

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Daily News Update Page 3

Being the world's largest producer, Indonesia produced 2,668,000

tonnes of nickel in 2019 Reporter: Ridwan Nanda Mulyana | Editor:

Tendi Mahadi

INDONESIA became the world's largest

nickel ore producer over the past year. Referring to the data submitted by the Geological Agency of the Ministry of EMR, in 2019, total world nickel production reached 2,668,000 tonnes of Ni. Of that amount, as many as 800,000 tonnes of Ni came from Indonesia.

Head of the Geological Agency, Eko Budi Lelono, said that Indonesia's nickel ore production of 800,000 tons of Ni last year was the largest in the world. Followed by the Philippines with 420,000 tonnes of Ni and Russia with 270,000 tonnes of Ni. New Caledonia with 220,000 tons of Ni and other countries with a total of 958,000 tons of Ni.

"Globally, Indonesia is the largest nickel producer in 2019, from around 2.6 million tonnes of nickel production, Indonesia produces around 800 thousand tonnes of nickel," said Eko in a webinar held on Tuesday (13/10).

Based on data from the Geological Agency, Indonesia's nickel resources and reserves are still quite high. Eko explained, until July 2020, the total balance of Indonesia's nickel ore resources reached 11.88 billion tons. Meanwhile, the total resource of nickel metal is 174 million tons.

Meanwhile, the nickel ore reserve balance until July 2020 was recorded at 4.34 billion tons. Meanwhile, the total reserves of nickel metal are 68 million tons. The data was collected from 328 locations in Indonesia.

Jadi produsen terbesar dunia, Indonesia produksi 2.668.000

ton nikel di 2019 Reporter: Ridwan Nanda Mulyana | Editor:

Tendi Mahadi

INDONESIA menjadi produsen bijih nikel

terbesar di dunia sepanjang tahun lalu. Merujuk pada data yang disampaikan oleh Badan Geologi Kementerian ESDM, pada tahun 2019 lalu, total produksi nikel dunia mencapai 2.668.000 ton Ni. Dari jumlah itu, sebanyak 800.000 ton Ni berasal dari Indonesia.

Kepala Badan Geologi Eko Budi Lelono menyampaikan, produksi bijih nikel Indonesia sebanyak 800.000 ton Ni pada tahun lalu menjadi yang terbesar di dunia. Disusul oleh Filipina dengan 420.000 ton Ni dan Rusia sebanyak 270.000 ton Ni. New Caledonia sebesar 220.000 ton Ni dan negara lainnya dengan total 958.000 ton Ni.

"Indonesia secara global menduduki sebagai produsen nikel terbesar pada tahun 2019, dari sekitar produksi nikel 2,6 juta ton, Indonesia menghasilkan sekitar 800 ribu ton nikel," ungkap Eko dalam webinar yang digelar Selasa (13/10).

Berdasarkan data dari Badan Geologi, sumber daya dan cadangan nikel yang dimiliki Indonesia masih cukup tinggi. Eko memaparkan, hingga Juli 2020, total neraca sumber daya bijih nikel Indonesia mencapai 11,88 miliar ton. Sedangkan total sumber daya logam nikel sebesar 174 juta ton.

Adapun, neraca cadangan bijih nikel hingga Juli 2020 tercatat sebesar 4,34 miliar ton. Sementara total cadangan logam nikel sebesar 68 juta ton. Data tersebut dikum-pulkan dari 328 lokasi di Indonesia.

Daily News Update Page 4

According to Eko, Central Sulawesi, Southeast Sulawesi and North Maluku are the three provinces with the largest nickel reserves and resources. "Sulawesi still occupies the highest position, next to North Maluku. So with various classifications of resources, Central Sulawesi, Southeast Sulawesi and North Maluku play the most important roles in future nickel explo-ration," said Eko.

Furthermore, Eko said that last year, Indonesia's nickel matte production amounted to 72,000 tons. Production of 1.1 million tonnes of FerroNickel and Nickel Pig Iron (NPI) was 781,000 tonnes.

The Geological Agency confirmed that the exploration and preparation and offering of the Mining Business Permit Area (WIUPK) are needed to maintain the supply of nickel ore reserves in the next few years. In addition, to prevent inefficiency in the use of nickel ore, a synergy is needed between the Ministry of EMR through the Directorate General of Mineral and Coal and the Geological Agency, together with the Ministry of Industry.

Menurut Eko, Sulawesi Tengah, Sulawesi Tenggara dan Maluku Utara menjadi tiga provinsi dengan sumber daya dan cadangan nikel terbesar. "Tetap di Sulawesi ini menempati posisi tertinggi, di samping Maluku Utara. Jadi dengan berbagai klasifikasi sumber daya, Sulawesi Tengah, Sulawesi Tenggara dan Maluku Utara memegang peran yang paling penting untuk eksplorasi nikel ke depan-nya," ujar Eko.

Lebih lanjut, Eko menyampaikan bahwa pada tahun lalu, produksi nikel matte Indonesia sebesar 72.000 ton. Produksi FeroNikel 1,1 juta ton dan Nikel Pig Iron (NPI) sebanyak 781.000 ton.

Badan Geologi menegaskan eksplorasi serta penyiapan dan penawaran Wilayah Izin Usaha Pertambangan (WIUPK) diperlukan untuk menjaga pasokan cadangan bijih nikel dalam beberapa tahun ke depan. Selain itu, untuk mencegah inefisiensi pemanfaatan bijih nikel , diperlukan sinergi antara Kementerian ESDM melalui Ditjen Minerba dan Badan Geologi, bersama Kementerian Per-industrian.

Why is it difficult for smelter entrepreneurs to enforce the nickel benchmark price rule?

Denis Riantiza Meilanova

CHAIRMAN of the Indonesian Nickel

Industry Forum and CEO of PT Indonesia Morowali Industrial Park Alexander Barus revealed the challenges of nickel smelter entrepreneurs in implementing the nickel mineral benchmark price policy.

Mengapa Pengusaha Smelter Sulit Jalankan Aturan Harga

Patokan Nikel? Denis Riantiza Meilanova

KETUA Umum Forum Industri Nikel

Indonesia sekaligus CEO PT Indonesia Morowali Industrial Park Alexander Barus mengungkapkan tantangan pengusaha smelter nikel dalam menjalankan kebijak-an harga patokan mineral nikel.

Daily News Update Page 5

He said that the entrepreneurs did not reject the imposition of the nickel mineral benchmark price (HPM). However, smelter entrepreneurs want the purchase price of nickel to be increased gradually.

"We don't disagree, we don't reject HPM, but we just say give us a breath so that the increase is not at once US$ 10 per tonne. Maybe US$ 2 - US$ 5 first," he said in a webinar, Tuesday (10/13/2020).

This is because in addition to facing an increase in the burden of buying nickel ore, smelter businessmen are also facing the burden of anti-dumping levies on nickel product exports that are applied in a number of countries.

"Our stainless steel in China is subject to 20.2 percent antidumping. At IMIP [PT Indonesia Morowali Industrial Park] it is very integrated, from ore to furnace, everything is liquid, there is no remelting process so that production costs are below the world. 17.4 percent is anti-dumping, America has 25 percent, Malaysia and India are in the initiation process," he said.

Meanwhile, the Special Staff of the Minister of EMR for Mineral and Coal Management, Irwandy Arif , said that nickel ore production costs in Indonesia are low, with an average of around US$ 20.09 per ton to US$ 22.56 per ton.

Meanwhile, the production cost of ferronickel in Indonesia with RKEF technology is in the range of US$ 8,052 per ton Ni. This fee includes the cost of smelting, ore purchases, and shipping costs.

Indonesia's ferronickel production costs are st il l much lower than that of ferronickel production in China with the same technology, namely US$ 12,341 per ton Ni.

Dia mengatakan bahwa para pengusaha tidak menolak diberlakukannya aturan harga patokan mineral (HPM) nikel. Hanya saja, pengusaha smelter menginginkan agar kenaikan harga beli nikel dilakukan secara bertahap.

"Kami bukannya tidak setuju , tidak menolak HPM, tapi kami hanya katakan berilah kami napas sehingga kenaikan itu tidak sekaligus US$10 per ton. Mungkin US$2—US$5 dulu," ujarnya dalam sebuah webinar, Selasa (13/10/2020).

Hal ini dikarenakan selain menghadapi kenaikan beban pembelian bijih nikel, pengusaha smelter juga tengah meng-hadapi beban pungutan antidumping ekspor produk nikel yang diterapkan di sejumlah negara.

"Stainless steel kita di China kena anti-dumping 20,2 persen. Di IMIP [PT Indonesia Morowali Industrial Park] ini sangat integrated, dari ore sampai ke tanur itu semua cair, tidak ada remelting proses sehingga ongkos produksi bisa di bawah dunia. Eropa akan kenakan 17,4 persen antidumping, Amerika sudah 25 persen, Malaysia, dan India proses inisiasi," katanya.

Sementara itu, Staf Khusus Menteri ESDM Bidang Tata Kelola Mineral dan Batubara Irwandy Arif mengatakan bahwa biaya produksi bijih nikel di Indonesia terbilang rendah, yakni rata-rata berkisar antara US$20,09 per ton hingga US$22,56 per ton.

Sementara itu, biaya produksi feronikel di Indonesia dengan teknologi RKEF berada pada kisaran US$8.052 per ton Ni. Biaya ini sudah termasuk biaya peleburan, pem-belian bijih, hingga biaya pengiriman.

Biaya produksi feronikel Indonesia itu masih jauh lebih rendah dibandingkan dengan produksi feronikel di China dengan teknologi yang sama, yakni US$12.341 per ton Ni.

Daily News Update Page 6

"The difference is quite a lot. So, if, for example, someone complains about buying nickel ore and then the smelter product is still not profitable, I think this data can prove that their profit is sufficient so they have to share with those in the mine and optimize all processes that occur," said Irwandy.

Based on the Regulation of the Minister of EMR Number 11 of 2020 concerning the Third Amendment to the Regulation of the Minister of EMR Number 7 of 2017 concerning Procedures for Determining the Metal Mineral Reference Price and the Coal Reference Price, the sale and purchase of nickel is required to refer to the mineral stock price. Editor: Zufrizal

"Perbedaannya cukup banyak. Jadi, kalau, misalnya, ada yang mengeluh beli bijih nikel kemudian produk smelternya itu masih kurang profit, saya kira data ini bisa membuktikan keuntungan mereka sudah cukup sehingga harus berbagi dengan mereka yang di tambang dan meng-optimasikan semua proses yang terjadi," kata Irwandy.

Berdasarkan Peraturan Menteri ESDM Nomor 11 Tahun 2020 tentang perubahan Ketiga atas Peraturan Menteri ESDM Nomor 7 Tahun 2017 tentang Tata Cara Penetapan Harga Patokan Mineral Logam dan Harga Patokan Batubara, jual beli nikel diwajibkan mengacu kepada harga harga ptokan mineral. Editor : Zufrizal

Whew, Inalum Cs Builds Electric Car Battery Factory Rp178 T

Anisatul Umah, CNBC Indonesia

THE GOVERNMENT is encouraging the

use of electric-based vehicles to reduce fuel consumption from fossil energy, which is considered not environmentally friendly. To meet the needs of electric vehicle batteries, a number of S tate-Owned Enterprises (SOE) are also building a battery factory.

The construction of the battery factory will be led by the SOE mining holding MIND ID or Inalum through PT Aneka Tambang Tbk, together with PT Pertamina (Persero) and PT PLN (Persero).

Inalum Orias CEO Petrus Moedak said the three SOEs were currently preparing to form a new business unit, namely PT Indonesia Battery.

Wuih, Inalum Cs Bangun Pabrik Baterai Mobil Listrik Rp 178 T

Anisatul Umah, CNBC Indonesia

PEMERINTAH tengah mendorong peng-

gunaan kendaraan berbasis listrik untuk menekan konsumsi bahan bakar dari energi fosil, yang dinilai tidak ramah lingkungan. Untuk memenuhi kebutuhan baterai kendaraan listrik tersebut, sejumlah Badan Usaha Milik Negara (BUMN) pun beramai-ramai membuat pabrik baterai.

Pembangunan pabrik baterai akan dipimpin oleh holding BUMN pertambangan MIND ID atau Inalum melalui PT Aneka Tambang Tbk, bersama dengan PT Pertamina (Persero) dan PT PLN (Persero).

CEO Inalum Orias Petrus Moedak menga-takan ketiga BUMN itu saat ini tengah menyusun pembentukan unit usaha baru yakni PT Indonesia Battery.

Daily News Update Page 7

To build the battery factory, Orias said that currently his party is exploring cooperation with two potential partners from China and South Korea. Later this project, according to him, will be integrated from upstream to downstream. Unmitigated, he said the investment value was even estimated at US$ 12 billion or around Rp. 177.6 trillion (assuming an exchange rate of Rp. 14,800 per US$).

"Cooperation with Chinese and Korean partners, from upstream to downstream, is around US$ 12 bill ion. A concrete cooperation plan has been prepared, a plan to use nickel to produce batteries," he explained in a Webinar on Tuesday (13/10/2020).

He further said, of the estimated invest-ment of US$ 12 billion, two companies would be potential partners, each of which was estimated to invest US$ 7 billion and US$ 5 billion, depending on the size. Currently, according to him, his party is in the process of discussing the potential investors and it is hoped that an agreement can be reached soon.

"In the upstream there is Antam, the intermediate one is Pertamina, the down-stream is PLN. Now it is being processed. That will be Indonesia Battery, that is the holding company involved in making batteries from upstream to downstream," he explained.

Orias said the investment cost of US$ 12 billion will be obtained from equity share-holders and banks. According to him, all lines must be focused, lest banks not provide support.

He also hopes that the industry can absorb these batteries later. If the industry does not absorb, then exports will not be avoided. This will be very unfortunate because it means that we are providing subsidies for other countries.

Untuk membangun pabrik baterai ter-sebut, Orias menyebut saat ini pihaknya tengah menjajaki kerja sama dengan dua calon mitra dari China dan Korea Selatan. Nantinya proyek ini menurutnya akan terintegrasi dari hulu sampai hilir. Tak tanggung-tanggung, dia menyebutkan nilai investasinya bahkan diperkirakan men-capai US$ 12 miliar atau sekitar Rp 177,6 triliun (asumsi kurs Rp 14.800 per US$).

"Kerja sama dengan mitra China dan Korea, dari hulu sampai hilir sekitar US$ 12 miliar. Sudah disiapkan rencana kerja sama kongkrit, rencana pemanfaatan nikel sampai hasilkan baterai," paparnya dalam acara Webinar pada Selasa, (13/10/2020).

Lebih lanjut dia mengatakan, dari per-kiraan investasi US$ 12 miliar tersebut, berasal dari dua perusahaan calon mitra di mana masing-masing diperkirakan akan berinvestasi US$7 miliar dan US$ 5 miliar, tergantung dari ukurannya. Saat ini menurutnya pihaknya tengah dalam proses pembicaraan dengan calon investor tersebut dan diharapkan kesepakatan bisa segera tercapai.

"Di hulu ada Antam, yang intermediate ada Pertamina, hilir ada PLN. Sekarang lagi diproses. Itu nanti ada Indonesia Battery, itu holding company yang terlibat dalam pembuatan baterai dari hulu ke hilir," jelasnya.

Orias mengatakan biaya investasi US$ 12 miliar ini akan diperoleh dari ekuitas pemegang saham dan perbankan. Semua lini menurutnya harus difokuskan, jangan sampai perbankan tidak memberikan dukungan.

Dia pun berharap industri dapat menyerap baterai ini nantinya. Jika industri tidak menyerap, maka ekspor tidak akan ter-hindarkan. Ini akan sangat disayangkan karena artinya kita malah memberikan subsidi bagi negara lain.

Daily News Update Page 8

"If we produce something at a price that is not too expensive domestically, and then buy it by foreign companies, it is tantamount to providing subsidies indirectly," he said.

Previously, the Special Staff of the Minister of SOE Arya Sinulingga said that Pertamina was currently being asked to calculate how long the fossil fuel reserves would last if it continued to be used. This is done to prepare this company to enter as a provider of fuel for electric vehicles.

"Pertamina in the future will become a company that produces EV batteries. It will change from selling fossil energy to battery energy," said Arya in a video uploaded to the Matangasa Institute account, quoted on Tuesday (29/09/2020). (wia)

"Kalau kita menghasilkan sesuatu dengan harga yang tidak terlalu mahal di dalam negeri, kemudian dibeli perusahaan luar negeri, itu sama saja memberikan subsidi secara tidak langsung," ungkapnya.

Sebelumnya, Staf Khusus Menteri BUMN Arya Sinulingga mengatakan saat ini Pertamina tengah diminta untuk menghitung cadangan bahan bakar fosil bertahan sampai berapa lama jika terus digunakan. Hal ini dilakukan untuk mempersiapkan perusahaan ini untuk masuk sebagai penyedia bahan bakar untuk kendaraan listrik.

"Pertamina nantinya ke depan akan jadi perusahaan yang memproduksi EV battery. Dia akan berubah dari menjual energi fosil menjadi energi baterai," kata Arya dalam video yang diunggah dalam akun Matangasa Institute, dikutip Selasa (29/09/2020). (wia)

INCO is optimistic that nickel

production can reach 73,000 tons by 2020

Reporter: Ika Puspitasari | Editor: Herlina Kartika Dewi

PT VALE Indonesia Tbk (INCO) remains

optimistic that it will be able to achieve its production target by the end of 2020. PT Vale Indonesia Tbk Finance Director Bernardus Irmanto said the sales trend was fairly good during the third quarter of the year even in the midst of the Covid-19 pandemic.

Even Bernardus predicts that the total volume of nickel production could reach 73,000 tonnes in 2020 or 2.78% higher than nickel production in 2019 which amounted to 71,025 tonnes.

INCO optimistis produksi nikel

bisa capai 73.000 ton pada 2020

Reporter: Ika Puspitasari | Editor: Herlina Kartika Dewi

PT VALE Indonesia Tbk (INCO) tetap

optimistis mampu mencapai target produksi hingga akhir tahun 2020. Direktur Keuangan PT Vale Indonesia Tbk Bernardus Irmanto mengatakan tren penjualan terbilang baik selama kuartal ketiga tahun meski di tengah pandemi Covid-19.

Bahkan Bernardus memprediksi, total volume produksi nikel bisa mencapai 73.000 ton pada 2020 atau 2,78% lebih tinggi ketimbang produksi nikel pada 2019 yang sebesar 71.025 ton.

Daily News Update Page 9

In fact, previously INCO set a production

volume target and sales volume of nickel in

matte of 71,000 tons.

This is because the nickel issuer, whose

20% stake has just been acquired by MIND

ID, has delayed the furnace rebuilding

project or furnace 4 rebuild to the second

quarter of 2021. "We are sure that the

production target will be achieved with the

decision to postpone the furnace rebuild

4," he told Kontan.co.id, Tuesday (13/10).

In addition, INCO's nickel sales were

maintained despite the Covid-19 pandemic

pressing the market and commodity prices,

this is because the company produces

refined nickel in matte.

INCO also has a long-term off-take

agreement to absorb these products in the

Japanese market.

In the long term, the issuer will also

continue with strategic projects located in

Pomalaa and Bahodopi. "There are two

development projects, namely in Bahodopi

and Pomalaa by collaborating with

partners to build smelters in the two

locations," he added.

In Kontan.co.id notes, for the smelter

project in Pomalaa, INCO is currently in the

final investment decision (FID) completion

stage. Meanwhile, the smelter in Bahodopi

is still in the licensing stage, this project is

running slower than Pomalaa due to the

pandemic.

Padahal, sebelumnya INCO memasang

target volume produksi dan penjualan

nikel dalam matte sebesar 71.000 ton.

Hal ini lantaran emiten nikel yang 20%

sahamnya baru diakuisisi oleh MIND ID itu

telah memundurkan proyek pembangunan

ulang tungku atau furnance 4 rebuild ke

Kuartal I I-2021. "Kami yakin target

produksi akan tercapai dengan keputusan

menunda rebuild furnace 4," katanya

kepada Kontan.co.id, Selasa (13/10).

Selain itu, penjualan nikel INCO tetap

terjaga meski pandemi Covid-19 menekan

pasar dan harga komoditas, hal ini lantaran

perusahaan memproduksi nikel olahan

dalam matte.

INCO juga memiliki perjanjian jangka

panjang atau long-term off take agreement

untuk menyerap produk tersebut di pasar

Jepang.

Dalam jangka panjang, emiten ini juga

melanjutkan proyek strategis yang terletak

di Pomalaa dan Bahodopi. "Ada dua proyek

pengembangan, yaitu di Bahodopi dan

Pomalaa dengan menggandeng partner

untuk membangun smelters di dua lokasi

tersebut," tambahnya.

Dalam catatan Kontan.co.id, untuk proyek

smelter di Pomalaa, INCO sedang dalam

tahap penyelesaian final investment

decision (FID). Sementara untuk smelter di

Bahodopi masih dalam tahap perizinan,

proyek ini berjalan lebih lambat dibanding

Pomalaa akibat adanya pandemi.

Daily News Update Page 10

Downstream efforts are expected to become a new

paradigm for the national coal mining industry

Yurika

INDONESIA intends to realize the

development of a number of commercial

scale downstream coal industries by 2030 with a total capacity of 37.6 million tons.

This is in line with the relatively slow growth of domestic coal consumption,

which is not comparable to the production growth rate of national coal mining

companies.

National coal production is also stil l export-oriented and tends to play a role as

a commodity for state revenues, so that it is at risk of price fluctuations and the

impact of changes in global markets.

"Approximately 80% of PNBP (Non-Tax State Revenue) in the mineral and coal subsector (minerba) comes from the coal mining industry, as well as the GRDP of several coal-producing areas which still dominantly relies on the coal mining industry," said Sudjatmiko, Director of Coal Business Development of the EMR Ministry, in a virtual discussion Tuesday (13/10).

Sudjatmiko explained that currently around 50.3% of PT PLN (Persero) 's electricity source comes from coal-fired power plants (PLTU) (the cheapest fossil energy). The demand to reduce global warming and environmental issues regarding the use of coal for PLTU continues to increase despite the slow development of renewable energy sources.

Upaya Hilirisasi Diharapkan Jadi Paradigma Baru Industri

Pertambangan Batu Bara Nasional

Yurika

INDONESIA berkeinginan untuk me-

wujukan terbangunnya sejumlah industri hilir batu bara skala komersial pada 2030 dengan kapasitas total 37,6 juta ton. Hal ini seiring dengan pertumbuhan konsumsi batu bara domestik yang relatif lambat, tidak sebanding dengan laju pertumbuhan produksi perusahaan pertambangan batu bara nasional.

Produksi batu bara nasional juga masih berorientasi ekspor dan cenderung ber-peran sebagai komoditas untuk pene-rimaan negara sehingga berisiko terhadap fluktuasi harga dan dampak perubahan pasar global.

“Sekitar 80% PNBP (Penerimaan Negara Bukan Pajak) subsektor minerba (mineral dan batu bara) berasal dari industri pertam-bangan batubara, demikian juga halnya PDRB beberapa daerah penghasil batu bara masih sangat dominan mengandalkan industri pertambangan batu bara,” ungkap Sudjatmiko, Direktur Pembinaan Peng-usahaan Batu bara Kementerian ESDM, dalam diskusi virtual Selasa(13/10).

Sudjatmiko menjelaskan, saat ini sekitar 50,3% sumber energi listrik PT PLN (Persero) berasal dari Pembangkit Listrik Tenaga Uap (PLTU) batu bara (energi fosil termurah). Tuntutan untuk menurunkan global warming dan isu lingkungan terhadap penggunaan batu bara untuk PLTU terus meningkat disamping masih lambatnya pembangunan sumber energi terbarukan.

Daily News Update Page 11

"The number of national coal-fired power plants is relatively small, around 1.62% of the total PLTUs in the world and it is still relatively new when compared to European countries which have started to leave coal to renewable energy," said Sudjatmiko.

The distribution of quality of Indonesian coal is dominated by medium calorie coal (59%) and low calorie coal (31%). The coal has the prospect of increasing added value (downstream) through the mandate for development and/or utilization.

Furthermore, Sudjatmiko added, coal conservation efforts in the framework of good mining practice principles need to be carried out to support the guarantee of the availability of domestic coal (DMO) especially PLTU, textile industry, cement, smelters, and others.

The potential for coal as a raw material for downstream industries, including DME, Syngas, semi-coke, is expected to help the current account deficit and support the industrialization era for the vision of a 2045 Forward Indonesia.

"Prioritizing domestic interests, one of which is through optimizing the use of low quality coal and efforts to downstream, are expected to become a new paradigm for the national coal mining industry in the future," said Sudjatmiko. (RA)

“Jumlah PLTU batu bara nasional relatif kecil sekitar 1,62 % dari total PLTU di dunia dan masih relatif baru jika dibandingkan negara Eropa yang sudah mulai meninggalkan batu bara ke renewable energy,” ujar Sudjatmiko.

Distribusi kualitas batu bara Indonesia didominasi oleh batu bara kalori menengah (59%) dan batu bara kalori rendah (31%). Batu bara tersebut memiliki prospek untuk dilakukan peningkatan nilai tambah (hiliri-sasi) melalui amanat pengembangan dan/ atau pemanfaatan.

Lebih lanjut Sudjatmiko menambahkan, upaya konservasi batu bara dalam rangka kaidah teknik pertambangan yang baik (good mining practice) perlu dilakukan untuk mendukung jaminan ketersediaan batu bara domestik (DMO) utamanya PLTU, industri tekstil, semen, smelter, dan lainnya.

Potensi batu bara sebagai bahan baku industri turunan (hilirisasi) antara lain men-jadi DME, Syngas, semi-kokas, diharapkan dapat membantu defisit transaksi berjalan serta mendukung era industrialisasi untuk visi Indonesia Maju 2045.

“Pengutamaan kepentingan dalam negeri salah satunya melalui optimalisasi pemanfaatan batu bara kualitas rendah dan upaya hilirisasi, diharapkan menjadi paradigma baru industri pertambangan batu bara nasional di masa yang akan datang,” tandas Sudjatmiko. (RA)

Indonesia's Nickel Smelter Production is Still Dominated by

Second Class Products Denis Riantiza Meilanova

THE DEVELOPMENT of Indonesia's nickel smelter production is quite significant, especially after the acceleration of the export ban on nickel ore.

Produksi Smelter Nikel Indonesia Masih Didominasi

Produk Kelas Dua Denis Riantiza Meilanova

PERKEMBANGAN produksi smelter nikel Indonesia terbilang cukup signifikan, ter-utama setelah adanya percepatan larangan ekspor bijih nikel.

Daily News Update Page 12

It's just that, said the Special Staff of the Minister of EMR for Mineral and Coal Management Irwandy Arif, all of its products are still intermidiate products and are dominated by second -class products, namely nickel pig iron (NPI) and ferronickel (FeNi).

"Our production is the second largest class. This is the one that is continuously dredging saprolite, high grade nickel, while the first class which produces Ni Matte and MHP using limonite, the production is still lacking," said Irwandy in a webinar, Tuesday (13/10/2020).

The total reserves of high grade nickel ore (saprolite) in Indonesia are only around 930 million tons, much lower than the reserves of low grade nickel ore (limonite) which reached 3.6 billion tons.

Therefore, Indonesia is currently developing hydrometallurgical technology (high pressure acid leach/HPAL) for processing low grade nickel ore. However, the HPAL smelter project is a sensitive project because in addition to requiring large capital expenditures, the process is also complicated and requires sufficient experience to build and run the project.

Irwandy said that in the world today there are only two successful HPAL smelters, namely in Coral Bay, Philippines and Moa Bay in Cuba.

"Mastery of processing technology, especially RKEF, HPAL, Ni/Co SO4 refineries, battery precursors, chatodes, anodes, battery packs, by SOE or national companies is very important so that in the long term SOE or national companies can better control the nickel industry from upstream to downstream for inde-pendence of Indonesia," he said. Editor:

Zufrizal

Hanya saja, kata Staf Khusus Menteri ESDM Bidang Tata Kelola Mineral dan Batubara Irwandy Arif, seluruh produknya masih berupa produk antara (intermidiate) dan didominasi oleh produk kelas dua, yakni nickel pig iron (NPI) dan feronikel (FeNi).

"Produksi kita paling besar yang kelas dua ini. Ini yang kira-kira mengeruk terus saprolite, nikel kadar tinggi, sedangkan yang kelas satu yang memproduksi Ni Matte dan MHP yang menggunakan limonite, produksinya masih kurang," kata Irwandy dalam webinar, Selasa (13/10/ 2020).

Total cadangan bijih nikel kadar tinggi (saprolite) Indonesia hanya sekitar 930 juta ton, jauh lebih rendah dibandingkan dengan cadangan dari bijih nikel kadar rendah (limonite) yang mencapai 3,6 miliar ton.

Oleh karena itu, saat ini Indonesia tengah mengembangkan teknologi hidrometalurgi (high pressure acid leach/HPAL) untuk pengolahan bijih nikel kadar rendah. Namun, proyek smelter HPAL ini merupa-kan proyek sensitif karena selain mem-butuhkan belanja modal yang besar, prosesnya juga rumit dan memerlukan pengalaman yang cukup untuk mem-bangun dan menjalankan proyek tersebut.

Irwandy menuturkan bahwa di dunia saat ini baru ada dua smelter HPAL yang sukses, yakni di Coral Bay, Filipina dan Moa Bay di Kuba.

"Penguasaan processing technology ter-utama RKEF, HPAL, Ni/Co SO4 refinery, battery precursors, chatode, anode, battery pack, oleh BUMN atau perusahaan nasional sangat penting agar secara jangka panjang BUMN atau perusahaan nasional bisa lebih menguasai industri nikel dari hulu ke hilir untuk kemandirian Indonesia," katanya. Editor : Zufrizal

Daily News Update Page 13

The Coal Industry Has Difficulty Funding, What's Wrong? Anisatul Umah, CNBC Indonesia

THE ENERGY transition from fossil-based

energy to new and renewable energy (EBT) which is campaigned by developed countries has an impact on the difficulty of obtaining funding for coal projects.

Hundreds of world financial institutions are claimed to have started to declare and sell their shares (divestment) of the coal-fired Steam Power Plant (PLTU) project.

Executive Director of the Indonesian Coal Mining Association (APBI) Hendra Sinadia did not deny this.

However, even though many financial institutions are no longer willing to fund coal, according to him this does not necessarily cause the construction of coal-fired power plants to decline.

"It is true that financing (funding), of course we do not deny, this is a constraint, right, if we see that the World Bank itself has declared it," he said in an online discussion with the Institute for Essential Services Reform (IESR), Tuesday (13/10/ 2020).

According to him, although the World Bank stated that it no longer supports financing for dirty energy, investment in the coal sector has actually increased. In fact, he added, China in Semester I 2020 had built a PLTU with a capacity of 11.4 gigatts (GW).

"Coal-fired power plant is still developing, I see the experience from China, it is developing massive new and renewable energy (EBT), but fossil-based energy is also massive," he said.

Industri Batu Bara Kesulitan Pendanaan, Ada Apa ya? Anisatul Umah, CNBC Indonesia

TRANSISI energi dari energi berbasis fosil ke energi baru terbarukan (EBT) yang dikampanyekan oleh negara maju ber-dampak pada semakin sulitnya mendapat pendanaan untuk proyek batu bara.

Ratusan lembaga keuangan dunia diklaim mulai menyatakan keluar dan menjual saham-nya (divestasi) dari proyek Pembangkit Listrik Tenaga Uap (PLTU) batu bara.

Direktur Eksekutif Asosiasi Pertambangan Batu Bara Indonesia (APBI) Hendra Sinadia tidak memungkiri hal ini.

Namun demikian, meski banyak lembaga keuangan yang tidak lagi mau mendanai batu bara, menurutnya ini tidak serta merta membuat pembangunan PLTU batu bara menjadi turun.

"Memang betul financing (pendanaan) tentu kita tidak pungkiri, ini jadi kendala ya, kan kalau kita lihat World Bank sendiri sudah declare (menyatakan) ya," paparnya dalam diskusi secara daring bersama Institute for Essential Services Reform (IESR), Selasa (13/10/2020).

Menurutnya meski Bank Dunia menyatakan tidak lagi medukung pembiayaan untuk energi kotor, tapi investasi di sektor batubara malah meningkat. Bahkan, imbuhnya, China pada Semester I 2020 telah membangun PLTU dengan kapasitas 11,4 giga watt (GW).

"PLTU batu bara tetap berkembang, saya melihat pengalaman dari China, dia mengembangkan energi baru terbarukan (EBT) masif, tapi energi berbasis fosil juga masif," tuturnya.

Daily News Update Page 14

The same condition also occurs in Indonesia. Therefore, according to him, the coal industry is not necessarily dim because the market in the future is still there and it tends to increase.

"In my opinion, we need to pay attention to the fact that the coal sector has had a good transformation, the policy tools are already in the Minerba Law and the Ciptaker Law has been pushed. We both develop optimal capabilities as well as possible," he said.

Director of Coal Business Development, Directorate General of Mineral and Coal, Ministry of EMR, Sujatmiko, stated that this downstreaming is the future of coal in the midst of an energy transition.

There are seven downstream coal industries, including coal gasif ication, coke manu-facture, underground coal gasification, coal liquefaction, coal quality improvement, coal briquette manufacturing, and coal slurry/ coal water mixture.

"When talking about downstream, there are seven opportunities that can enter. Seven variants of downstream gas, coke. Coke imports US$ 1.5 billion for coke needs, meaning we have coal and still import coke. Downstreaming is the future of coal," he said. (sef/sef)

Kondisi yang sama juga terjadi di Indonesia. Oleh karena itu, menurutnya industri batu bara tidak serta merta redup karena pasar ke depan masih ada dan malah cenderung meningkat.

"Ini menurut saya kita perlu cermati, sektor batu bara sudah bertransformasi bagus, perangkat kebijakan sudah ada di UU Minerba dan UU Ciptaker sudah dorong. Kita sama-sama kembangkan kemampuan optimal sebaik-baiknya," tuturnya.

Direktur Pembinaan Pengusahaan Batu Bara Direktorat Jenderal Mineral dan Batu Bara Kementerian ESDM Sujatmiko menyatakan hilirisasi ini menjadi masa depan batu bara di tengah transisi energi.

Ada tujuh industri hilir batu bara, di antaranya gasifikasi batu bara, pembuatan kokas, underground coal gasification, pencairan batu bara, peningkatan mutu batu bara, pembuatan briket batu bara, dan coal slurry/coal water mixture.

"Kalau bicara hilirisasi ada tujuh peluang yang bisa masuk. Tujuh varian hilirisasi gas, kokas. Kokas impor US$ 1,5 miliar untuk kebutuhan kokas, artinya kita punya batu bara masih impor kokas. Hilirisasi adalah masa depan batu bara," ungkapnya. (sef/sef)

Not Antam or INCO, this is the biggest player in the national

nickel market share Reporter: Ridwan Nanda Mulyana | Editor:

Wahyu T. Rahmawati

INDONESIA Morowali Industrial Park (IMIP)

has shifted the position of PT Aneka Tambang Tbk (ANTM) and PT Vale Indonesia Tbk (INCO) in controlling nickel products in Indonesia in the last four years.

Bukan Antam ataupun INCO, ini penguasa terbesar pangsa pasar

nikel nasional Reporter: Ridwan Nanda Mulyana | Editor:

Wahyu T. Rahmawati

INDONESIA Morowali Industrial Park

(IMIP) menggeser posisi PT Aneka Tambang Tbk (ANTM) dan PT Vale Indonesia Tbk (INCO) dalam penguasaan produk nikel di Indonesia dalam empat tahun terakhir.

Daily News Update Page 15

Based on data from the Ministry of EMR, IMIP has controlled 50% of downstream nickel production in Indonesia in 2018.

Vale's portion decreased to 22% and Antam's portion was only 5%. In fact, Vale still controlled nickel production with a 77% share in 2014. At that time, Antam had a 19% market share and other companies 3%.

The state-owned nickel company has also been overtaken by Virtue Dragon which has a nickel production portion of 11%, Harita Group 6% and other companies with 6%.

"What happens in 2023, surely the composition will change drastically again. This is extraordinary development," said the Special Staff of the Minister of EMR for Mineral and Coal Management Irwandy Arif in a webinar on nickel utilization which was held on Tuesday (13/10).

He added that the downstream nickel industry is increasingly competitive and still promising, both for the development of the stainless steel-based industry and for the battery industry. Unfortunately, until now all products produced by smelters in Indonesia are stil l in intermediate products or semi-finished products.

Overall, more than 90% of Indonesia's smelter products are still nickel pig iron (NPI) based products. "The development of smelter production is quite significant, but 99%, or all of them 100%, are still intermediate products. More than 90% are NPI products," said Irwandy.

Based on the type of purity , nickel produced in Indonesia is still dominated by second-class nickel which produces NPI or ferronickel. Meanwhile, the portion of first-class nickel to produce nickel matte and mixed hydroxide precipitate (MHP) is still small.

Berdasarkan data Kementerian ESDM, IMIP sudah menguasai 50% dari produksi hilir nikel di Indonesia pada 2018.

Porsi Vale susut jadi 22% dan Antam hanya 5% saja. Padahal, Vale masih menguasai produksi nikel dengan porsi 77% pada tahun 2014. Ketika itu, Antam memiliki pangsa pasar 19% dan per-usahaan lainnya sebesar 3%.

Perusahaan nikel BUMN itu juga sudah tersalip oleh Virtue Dragon yang meme-gang porsi produksi nikel sebesar 11%, Harita Group 6% dan perusahaan lainnya sebesar 6%.

"Apa yang terjadi pada 2023, pasti kompo-sisinya akan berubah drastis lagi. Luar biasa perkembangannya," ungkap Staf Khusus Menteri ESDM Bidang Tata Kelola Mineral dan Batubara Irwandy Arif dalam webinar tentang pemanfaatan nikel yang digelar Selasa (13/10).

Dia menambahkan, industri hilir nikel semakin kompetitif dan masih menjanji-kan, baik untuk pengembangan industri berbasis stainless steel maupun untuk industri baterai. Sayangnya, hingga sekarang seluruh produk yang dihasilkan smelter di Indonesia masih dalam intermediate product atau produk setengah jadi.

Secara keseluruhan, lebih dari 90% produk smelter Indonesia masih berupa produk berbasis nikel pig iron (NPI). "Perkem-bangan produksi smelter cukup signifikan, tetapi 99%, atau semuanya 100% masih intermediate produk. 90% lebih adalah produk NPI," ujar Irwandy.

Berdasarkan jenis kemurniannya, nikel yang produksi di Indonesia juga masih didominasi oleh nikel kelas dua yang menghasilkan NPI atau feronikel. Sedang-kan porsi nikel kelas satu untuk meng-hasilkan nikel matte dan mixed hydroxide precipitate (MHP) masih mini.

Daily News Update Page 16

Currently, the need for global nickel is still dominated by the stainless steel industry at 71%. Meanwhile, other industrial needs such as batteries are still mini, which is 3%.

However, smelter co nstruction in Indonesia has begun to vary. Irwandy revealed that at least six companies are planning to build a nickel smelter with high pressure acid leaching (HPAL). Of the six HPAL smelters, five of them are targeted to operate in 2021.

The six companies that build the HPAL smelter are PT Halmahera Persada Lygend, PT Adhikara Cipta Mulia, PT Smelter Nickel Indonesia, PT Huayue, PT QMB and PT Vale Indonesia.

Not to mention, the MIND ID mining holding plan is to build an HPAL smelter that is integrated with the battery industry for electric vehicles (EV) and storage of electrical energy (storage). MIND ID through Antam, together with PT Pertamina (Persero) and PT PLN (Persero) are planning to build two integrated battery factories.

With the development plan in the downstream industry, Irwandy believes nickel investment in Indonesia will be even more attractive. Especially from the upstream side, he said that the greenfield area that could be explored was still very wide. "The potential for large reserves and opportunities for the downstream industry. Indonesia is attractive for nickel investment development," added Irwandy.

Meanwhile, referring to data from the Geological Agency of the Ministry of EMR, until July 2020, the total balance of Indonesia's nickel ore resources reached 11.88 billion tons. Meanwhile, the total resource of nickel metal is 174 million tons.

Saat ini, kebutuhan nikel global juga masih didominasi untuk industri stainless steel sebesar 71%. Sedangkan untuk kebutuhan industri lainnya seperti baterai masih mini, yakni 3%.

Namun, pembangunan smelter di Indonesia sudah mulai beragam. Irwandy meng-ungkapkan, paling tidak sudah ada enam perusahaan yang berencana membangun smelter nikel dengan high pressure acid leaching (HPAL). Dari keenam smelter HPAL itu, lima diantaranya ditargetkan bisa beroperasi pada tahun 2021 men-datang.

Keenam perusahaan yang membangun smelter HPAL itu adalah PT Halmahera Persada Lygend, PT Adhikara Cipta Mulia, PT Smelter Nikel Indonesia, PT Huayue, PT QMB dan PT Vale Indonesia.

Belum lagi, rencana holding pertambangan MIND ID untuk membangun smelter HPAL yang terintegrasi dengan industri baterai untuk kendaraan listrik (EV) dan penyim-panan energi listrik (storage). MIND ID melalui Antam, bersama PT Pertamina (Persero) dan PT PLN (Persero) rencana-nya akan membangun dua pabrik baterai integrasi.

Dengan adanya rencana pengembangan di industri hilir tersebut, Irwandy yakin investasi nikel di Indonesia akan semakin menarik. Apalagi dari sisi hulu, dia menyebut bahwa wilayah greenfield yang bisa dieksplorasi masih sangat luas. "Potensi cadangan yang besar dan peluang industri hilir. Indonesia menjadi menarik untuk pengembangan investasi nikel," imbuh Irwandy.

Adapun, merujuk pada data dari Badan Geologi Kementerian ESDM, hingga Juli 2020, total neraca sumber daya bijih nikel Indonesia mencapai 11,88 miliar ton. Sedangkan total sumber daya logam nikel sebesar 174 juta ton.

Daily News Update Page 17

Then, the nickel ore reserve balance until July 2020 was recorded at 4.34 billion tons.

Meanwhile, the total reserves of nickel metal are 68 million tons. The data was

collected from 328 locations in Indonesia. Central Sulawesi, Southeast Sulawesi and

North Maluku are the three provinces with the largest nickel resources and reserves.

Lalu, neraca cadangan bijih nikel hingga Juli 2020 tercatat sebesar 4,34 miliar ton. Sementara total cadangan logam nikel sebesar 68 juta ton. Data tersebut di-kumpulkan dari 328 lokasi di Indonesia. Sulawesi Tengah, Sulawesi Tenggara dan Maluku Utara menjadi tiga provinsi dengan sumber daya dan cadangan nikel ter-besar.

Working on the Hundred Trillion

EV Battery Project, Antam's (ANTM) Shares Soar Denis Riantiza Meilanova

SHARES of PT Aneka Tambang Tbk.

(ANTM) soared along with the company's plan to enter into a battery project for electric vehicles (electronic vehicle/EV).

In trading Wednesday (14/10/2020) at 9.24 WIB, ANTM's shares jumped 8.5 percent or 65 points to Rp 830. During the day, prices have moved in the range of Rp775-Rp835.

ANTM's shares became the most traded shares this morning with a volume of 126.55 million shares.

For information, PT Aneka Tambang Tbk. (ANTM) will be the representative of PT Mining and Industry Indonesia (MIND ID), or the holding company of mining SOEs, in the Indonesia Battery Holding (IBH) project.

The investment value for the battery development project from nickel mining to battery boxes is estimated at US$ 12 billion. With the estimated Jisdor exchange rate on Tuesday (10/13/2020) at the level of Rp. 14,793 per US dollar, the investment value is equivalent to Rp. 177.52 trillion.

Garap Proyek Baterai EV

Ratusan Triliun, Saham Antam (ANTM) Melonjak

Denis Riantiza Meilanova

SAHAM PT Aneka Tambang Tbk. (ANTM)

melonjak seiring dengan rencana per-seroan masuk ke proyek baterai untuk kendaraan listrik (electronic vehicle/ EV).

Pada perdagangan Rabu (14/10/2020) pukul 9.24 WIB, saham ANTM melonjak 8,5 persen atau 65 poin menuju Rp830. Sepanjang hari ini, harga bergerak di rentang Rp775 - Rp835.

Saham ANTM pun menjadi yang paling banyak diperdagangkan pagi ini dengan volume 126,55 juta saham.

Sebagai informasi, PT Aneka Tambang Tbk. (ANTM) akan menjadi perwakilan PT Mining and Industry Indonesia (MIND ID), atau induk holding BUMN tambang, dalam proyek Indonesia Battery Holding (IBH).

Nilai investasi proyek pengembangan baterai dari tambang nikel hingga menjadi baterai kotak ini diperkirakan mencapai US$12 miliar. Dengan estimasi kurs Jisdor pada Selasa (13/10/2020) di lev el Rp14.793 per dolar AS, maka nilai investasi itu setara dengan Rp177,52 triliun.

Daily News Update Page 18

MIND ID Group CEO Orias Petrus Moedak said that the process of forming the Indonesia Battery Holding (IBH) i s currently underway. Later, IBH will be involved in the busines s of making motorized vehicle batteries from upstream to downstream.

"The plan for state-owned enterprises to participate in the battery value chain EV [electric vehicle], MIND ID and Antam will play a greater role in the upstream, the intermediate is Pertamina, and in the downstream there is PLN. To control from upstream to downstream, it will run, now it will be implemented. again in the process, Indonesia Battery Holding," he said in a webinar, Tuesday (10/13/2020).

Meanwhile, the IBH project will involve three BUMN, namely MIND ID together with PT Pertamina (Persero) and PT PLN (Persero). The three of them will form a holding company in the battery business for electric motor vehicles.

Furthermore, Orias explained that IBH will later partner, both with PT Aneka Tambang (Antam) Tbk., as well as a subsidiary of Pertamina or PLN, to form a joint venture in a joint battery development project with foreign partners. Editor: Hafiyyan

Group CEO MIND ID Orias Petrus Moedak mengatakan bahwa proses pembentukan Indonesia Battery Holding (IBH) tersebut saat ini tengah berjalan. Nantinya, IBH akan terlibat dalam bisnis pembuatan baterai kendaraan bermotor mulai dari sektor hulu ke hilir.

"Rencana partisipasi BUMN dalam rantai nilai value chain EV [electric vehicle] baterai, MIND ID dan Antam akan lebih berperan di hulu, yang di intermediate ada Pertamina, dan di hilir ada PLN. Untuk mengontrol dari hulu ke hilir itu berjalan akan dibuat, sekarang lagi proses, Indonesia Battery Holding," ujarnya dalam webinar, Selasa (13/10/2020).

Adapun, proyek IBH akan melibatkan tiga BUMN, yakni MIND ID bersama dengan PT Pertamina (Persero) dan PT PLN (Persero). Ketiganya akan membentuk perusahaan induk di bidang bisnis baterai untuk kendaraan bermotor listrik.

Lebih lanjut, Orias menjelaskan IBH nantinya akan bermitra, baik dengan PT Aneka Tambang (Antam) Tbk., maupun anak usaha Pertamina atau PLN, untuk membentuk usaha patungan dalam proyek pengembangan baterai bersama dengan mitra asing. Editor : Hafiyyan

China vs Australia Increasingly Tense, Confusing Coal Prices

Tirta Citradi, CNBC Indonesia

THE NEWCASTLE thermal coal price for

the futures contract continues its corrective trend even though China's domestic coal price continues to rally. Apart from profit-taking,...

China vs Australia Makin Tegang, Bikin Kacau Harga Batubara

Tirta Citradi, CNBC Indonesia

HARGA batu bara termal Newcastle untuk

kontrak berjangkanya masih melanjutkan tren koreksinya meski harga batu bara domestik China lanjut reli. Selain aksi ambil untung,...

Daily News Update Page 19

Apart from profit-taking, the news of China boycotting Australian coal also triggered the drop in the price of this primary energy source.

At the beginning of this week, the price of coal futures (ICE Newcastle) fell 6.51% in a day. Yesterday, Tuesday (10/13/2020), coal prices fell again with a correction of 1.74% to US$ 53.65/ton.

Even though at the same time the price of thermal coal with 5,500 Kcal/Kg calories of Qinhuangdao continues to strengthen. Last week, China's domestic coal price was at US$ 91.67/ton. In the previous week, the coal price was still at US$ 90.78/ton.

The already too high domestic coal price should have made coal users and traders switch to the price of imported seaborne coal which also led to an increase in the price. However, the reality is the opposite.

China has reportedly told coal traders and users to stop imports from Australia, reflecting that political tensions between the two countries are not over.

S&P Global Platts and Argus Media, reported in recent days heard from unnamed sources that Beijing had given "verbal" instructions to steel mills, power companies and coal traders to stop imports from Australia.

If the report was accurate, this would cause a serious deterioration in the relationship between Australia and its largest trading partner. Coal is one of Australia's three biggest export commo-dities to China, after iron ore and liquefied natural gas (LNG).

The tension between the two comes after Australia called for an international investigation into the Covid-19 pandemic that originated in China before it spreads globally.

Selain aksi ambil untung, kabar China yang memboikot batu bara Australia juga jadi pemicu anjloknya harga sumber energi primer ini.

Pada awal pekan ini harga batu bara ber-jangka acuan (ICE Newcastle) anjlok 6,51% dalam sehari. Kemarin, Selasa (13/10/2020), harga batu bara kembali ambles dengan koreksi 1,74% ke US$ 53,65/ton.

Padahal di saat yang sama harga batubara termal berkalori 5.500 Kcal/Kg Qinhuangdao masih terus menguat. Pekan lalu harga batu bara domestik China berada di US$ 91,67/ ton. Pada pekan sebelumnya harga batu bara ini masih berada di US$ 90,78/ton.

Seharusnya harga batu bara domestik yang sudah terlampau tinggi ini membuat peng-guna batu bara dan trader beralih ke harga batu bara impor lintas laut (seaborne) yang juga berujung mengerek harganya naik. Namun realita yang terjadi justru sebaliknya.

China dilaporkan telah memberi tahu pedagang dan pengguna batu bara untuk menghentikan impor dari Australia yang mencerminkan bahwa ketegangan politik antara kedua negara tersebut belum berakhir.

S&P Global Platts dan Argus Media, melaporkan dalam beberapa hari terakhir mendengar dari sumber yang tidak disebutkan namanya bahwa Beijing telah memberikan instruksi "lisan" kepada beberapa pabrik baja, perusahaan listrik dan pedagang batubara untuk meng-hentikan impor dari Australia.

Apabila laporan tersebut akurat, hal ini akan menyebabkan kemerosotan serius dalam hubungan antara Australia dan mitra dagang terbesarnya. Batu bara adalah salah satu dari tiga komoditas ekspor terbesar Australia ke China, setelah bijih besi dan gas alam cair (LNG).

Ketegangan antara keduanya terjadi setelah Australia menyerukan untuk melakukan penyelidikan internasional terhadap pandemi Covid-19 yang berasal dari China sebelum menyebar secara global.

Daily News Update Page 20

So far Beij ing has effectively banned imports of Australian barley, restricted wine and meat and prevented students and others from traveling to Australia.

Reuters reported China's September imports of all types of coal from Australia reached 5.48 million tonnes, down from 6.04 million in August and 8.17 million in July. On a year-to-date basis, China imported 67.68 million tonnes from Australia, down 7.3% from the same period in 2019.

China is believed to have restricted coal imports, particularly thermal quality, to support prices for domestic miners. However, on the other hand, the tight domestic coal supply has made China's coal prices strengthen significantly and are above the informal level set by the government.

This had made the price of coal to increase significantly due to the news circulating that China would relax its coal imports as well as the establishment of a new coal import quota.

Even though coal imports from Australia have dropped, so far Indonesia has been harder hit than Australia. CNBC INDONESIA

RESEARCH TEAM (twg/twg)

Sejauh ini Beijing telah secara efektif melarang impor jelai Australia, membatasi anggur dan daging, serta mencegah siswa dan orang lain untuk bepergian ke Australia.

Reuters melaporkan impor China periode September untuk semua jenis batu bara dari Australia mencapai 5,48 juta ton, turun dari 6,04 juta pada Agustus dan 8,17 juta pada Juli. Secara year-to-date, China mengimpor 67,68 juta ton dari Australia atau turun 7,3% dari periode yang sama pada 2019.

China diyakini telah membatasi impor batu bara, terutama kualitas termal, untuk mendukung harga penambang dalam negeri. Namun di sisi lain ketatnya pasokan batu bara domestik telah membuat harga batu bara China menguat signifikan dan berada di atas rentang level informal yang dipatok pemerintah.

Hal ini sempat membuat harga batu bara menguat signifikan karena kabar yang beredar menyebutkan bahwa China akan melonggarkan impor batu baranya serta jelang penetapan kuota impor batu bara yang baru.

Meskipun impor batu bara dari Australia drop tetapi sampai sejauh ini Indonesia lebih terpukul daripada Australia. TIM RISET

CNBC INDONESIA (twg/twg)

Indonesia to create firm to build up electric vehicle battery industry By Reuters Staff

A GROUP of Indonesian state-owned companies will form a venture to make batteries to

power electric vehicles, the Mining Industry Indonesia (MIND ID) chief executive said on Tuesday.

Indonesia, the world’s biggest producer of nickel ore, a key component of EV batteries, wants to build an integrated EV industry that will eventually include building the vehicles.

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The new venture, called Indonesia Battery Holding, would be formed by state miners MIND ID and Aneka Tambang (ANTAM), state utility Perusahan Listrik Negara (PLN) and state oil company Pertamina, MIND ID Chief Executive Orias Petrus Moedak said.

“We are preparing a concrete cooperation plan, so that the nickel utilisation project can start immediately, to produce batteries,” he told a webinar.

The company would help build an industry that aimed to cover everything from producing chemicals and minerals for batteries to making the units themselves, as well as recycling old batteries, Orias said.

The company would create a partnership with Chinese and Korean firms on two projects valued at $12 billion, Orias said, without giving further details.

Orias said state miner ANTAM would also work on related EV battery projects including high-pressure acid leaching (HPAL) and rotary kiln electric furnace (RKEF) smelter projects valued $2 billion to $3 billion. He did not give details.

Reporting by Bernadette Christina Munthe; Writing by Fathin Ungku; Editing by Edmund Blair

China’s reported ban on Australian coal escalates dispute beyond mere nuisance

Reuters

CHINA has reportedly told coal traders and users to stop imports from Australia with

immediate effect in a move that would choke a major trade channel for both countries, a major escalation of political tensions between the pair.

Commodity price reporting agencies S&P Global Platts and Argus, as well as other media outlets, reported in recent days hearing from unnamed sources that Beijing had given “verbal” instructions to some steel mills, power companies and coal traders to halt imports from Australia.

If the reports are accurate – there has been no official confirmation yet – it would constitute a serious deterioration in the relationship between Australia and its largest trading partner. Coal is one of the big three Australian commodity exports to China, coming in behind iron ore and liquefied natural gas (LNG).

Ties between the two have been severely strained on a political level by Canberra’s call for an international investigation into the novel coronavirus pandemic, which originated in China before spreading globally.

So far Beijing has effectively banned imports of Australian barley, placed restrictions on wine and meat, and discouraged students and others from travelling to Australia.

While these measures certainly are negative to the sectors involved, they are still relatively insignificant when compared to the overall trading relationship between Australia and China.

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Australia is China’s top supplier of iron ore and coking coal, the two main ingredients used to make steel, while also being a major provider of LNG and thermal coal, used predominantly in power stations.

It’s worth noting that this isn’t the first time that China has supposedly imposed some sort of ban, or go-slow, on imports of coal from Australia.

The most recent occasion was in March 2019, when there was reported to be an unofficial slowing of customs clearances of Australian cargoes.

However, despite extensive reporting on the delaying of shipments, Australian coal exports to China seemed to show very little impact, with a small dip in February 2019 being made up a rebound in March that year.

It will take several months to work out if China is being more serious this time around, or if the reported import restrictions are just part of the wider cut and thrust of the ongoing political tensions.

In the meantime, vessel-tracking and port data compiled by Refinitiv show that China has already been slowing imports of Australian coal.

September imports of all coal types from Australia were 5.48 million tonnes, down from 6.04 million in August and 8.17 million in July.

In year-to-date terms, China imported 67.68 million tonnes from Australia in the first nine months, a drop of 7.3% from the same period in 2019.

Still, it’s worth noting that Indonesia, traditionally the biggest supplier of coal to China, has seen steeper declines: China’s imports from Indonesia in September were 4.18 million tonnes, the lowest since Refinitiv started vessel-tracking in January 2015.

For the first nine months of 2020, China imported 86.63 million tonnes from Indonesia, down 17% from the same period last year.

China is believed to have been restricting coal imports, particularly thermal grades, in order to support prices for domestic miners, and it appears that so far Indonesia has taken a bigger hit than Australia.

Escalation fears

Another factor worth noting is that while coal is one of the big three Australian commodity exports to China, it’s still the one upon which China is least reliant, and Beijing has a realistic chance of being able to source alternative supplies.

In thermal coal, China can source similar grades from Russia, South Africa, Colombia and the United States without incurring too much of a financial penalty through higher freight charges.

In coking coal, the situation is somewhat tricker.

Australia’s share of China’s coking coal imports in the first half of 2020 was about two-thirds, according to the Australian government’s latest Resources and Energy Publication.

Australia is the world’s largest coking coal exporter, supplying about 55% of the traded market.

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If China were to stop importing from Australia, it would have to scramble to buy whatever it could from neighbouring Mongolia and Russia, as well as Canada and the United States.

While the price of Australian coking coal would no doubt suffer, the prices of these other types would also likely rally strongly: Cutting off imports from Australia will potentially be a costly exercise for Beijing.

It would also make coking coal cheaper for regional steel-making competitors, such as Japan, South Korea and India, handing those countries an advantage in the highly competitive steel export market in Asia.

These may be costs Beijing is willing to bear in its bid to keep Australia in check, but there is always a risk of undue and unforeseen escalation of the conflict.

The conservative government of Prime Minister Scott Morrison may deem it worth the risk of retaliating, with the obvious candidate being Australian iron ore, upon which China is heavily reliant.

Australia supplies about 68% of China’s iron ore imports, and there is absolutely no way the rest of the world could make up for the shortfall if shipments were halted.

Given the reliance of the Chinese economy on steel as the key component of infrastructure, construction and manufacturing, an Australian ban on iron ore exports would have a far bigger impact on China than a Chinese ban on Australian coal imports has on Australia. (Editing by Kenneth Maxwell)

BHP Nickel West ponders Tesla partnership Salomae Haselgrove

BHP is positioning its Nickel West operations, including this year’s Honeymoon Well

acquisition, to benefit from the evolving electric vehicle and battery storage revolution.

Nickel West asset president Edward Haegel, speaking at the Diggers and Dealers conference yesterday, presaged an anticipated nickel boom as the world moves towards cleaner vehicles and batteries.

Haegel’s speech did not give definitive answers to the rumours of a BHP and Tesla partnership as reported by Bloomberg, but addressed Tesla chief executive Elon Musk’s call on nickel producers in this high-growth industry.

“At Tesla’s recent battery day, Elon Musk flagged the enormous demand that will come for nickel as this decade unfolds,” Haegel said.

“His call for nickel miners to grow quickly offers real evidence of the place nickel has as a strategic battery metal going forward.

“Nickel West is well positioned to benefit from this anticipated growth. Last year, we sold around 70 per cent of our nickel to battery manufacturers around the world, making BHP one of the world’s leading battery metal suppliers.”

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Haegel said the significant growth in this market will come from existing producers like BHP, which is already the world’s largest cathode producer.

The mining giant recently finalised the acquisition of the Honeymoon Well mine in Western Australia, which Haegel described as “one of our first no regret investments to realise Nickel West’s full potential”.

Several deposits at the Western Australian site are already under consideration, with the Wedgetail deposit the first in line to be developed.

Haegel said BHP was set to provide updates on Honeymoon Well’s reserves and resources “in due course” and was pushing itself to complete further exploration across its Western Australian assets.

“Our exploration continues across the Agnew-Wiluna belt to acquire prospective nickel tenements and we are confident in the scale of the future opportunities as we continue to invest in our existing Nickel West assets,” he said.

As well as unearthing more nickel, Nickel West is furthering its journey to mining cleaner and more valuable nickel, to continue as one of the world’s lowest carbon and sulfur emitters.

BHP is committed to a 30 per cent reduction in its carbon emissions by 2030 and plans to implement these changes by securing renewable power contracts for operations, installing steam generators and solar power across its nickel operations.

“Nickel West is already a very sustainable producer. Nevertheless, we want to continue to improve and part of our Kalgoorlie plan is to eliminate 100 per cent of sulfur dioxide (So2) emissions,” Haegel said.

“Presently, a very small amount of So2 emissions are able to be converted to sulfuric acid at the smelter. It is our plan to upgrade the plant to capture virtually all of the sulfur dioxide air emissions generated from furnace and converter operations, which we are aiming to complete by 2024.”

Despite delays to the upgrade of its Nickel West sulphate plant, BHP is ready to innovate and transform its long-life, low-cost resource asset for the future-facing EV and battery industries.

“Accepting that the world will want our nickel and that we are well placed to provide it with one of the lowest carbon footprints is an exciting prospect for us,” Haegel said.

“We are exploring new future technologies at our smelters and continuing our journey to see high returns as one of the world’s leading class 1 nickel producers right here in Western Australia.”

South Africa’s mining production down 3.3% in August By: Tasneem Bulbulia, Creamer Media Reporter

MINING production decreased by 3.3% year-on-year in August, Statistics South Africa

reported on Tuesday.

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The largest negative contributors were gold (-14.8%), iron-ore (-18.1%) and coal (-4.0%), while the largest positive contributor was platinum group metals, or PGMs (12.7%).

Seasonally adjusted mining production increased by 6.8% in August, compared with July. This followed month-on-month changes of 20.3% in July and -0.7% in June.

Mineral sales increased by 20.9% year-on-year in August, with the largest positive contributors being PGMs (63%), iron-ore (39.3%), gold (7.6%) and ‘other’ non-metallic minerals (35.6%).

Seasonally adjusted mineral sales at current prices increased by 13.1% in August compared with July. This followed month-on-month changes of 27.0% in July and -4.6% in June.

In the three months ended August the seasonally adjusted value of mineral sales at current prices was 16.2% higher compared with the previous three months.

Commenting on the statistics, Nedbank Economic Group Unit noted that the decline in mining production had been gradually slowing since April, when output was down by 50.2% year-on-year.

Nedbank mentioned that eight of the 12 mineral categories recorded yearly decreased in August.

The company highlighted that the August mining production figures were based on new weights based on national accounts value added statistics for the years 2016 to 2018 (previously weights were based on national accounts value added data for 2015 to 2017). The change in weights is applied with effect from January 2018.

Based on the new weights mining production declined by 1.5%, 0.6% and 14.9% in 2018, 2019 and year to date 2020, which compares with falls of 1.9%, 0.9% and 15.1% respectively, if the old weights were used.

“Our forecast is for mining to remain weak for the remainder of the year, but to be at vastly better levels than at the height of the lockdown. The speed of this recovery will depend on how quickly the country moves towards some semblance of normal operations, which, depending on the source, could be as soon as later this year or sometime in 2021.

“Either way, mining production will probably end 2020 lower, hurt by much weaker global demand and commodity prices,” Nedbank posited.

China’s coal imports from Australia expected to be stable this year: analyst

By Wang Sheng Source: Global Times

CHINA coal imports from Australia are expected to remain unchanged this year compared

with 2019, despite media reports that Australian coal would face restrictions amid current frictions between the two countries, a coal analyst told the Global Times.

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China imported 70.43 million tons of coal from Australia from January to August, accounting for 92 percent of last year’s coal imports from the country. Therefore, Australian coal exports to China could be seen stable this year, but there are so many political uncertainties even though Australian coal has some economic advantages, Ren Huiyun, a coal analyst with SCI99, told the Global Times on Wednesday.

“It is a wait-and-see market now. Because of sufficient inventories of many coal-consuming enterprises, they can hedge against external uncertainties in the short run,” said Ren.

Australia has been China’s second-largest coal supplier, exporting around 76.55 million tons of coal to China last year, following Indonesia, she noted.

Coal-power plants established along southeast coast regions mainly consume Australian coal. But they can also choose other coal suppliers from China’s domestic coal trade center Qinhuangdao, North China’s Hebei Province, said Ren. But she noted some power plants set parameters of electricity-generating equipment according to Australian coal, meaning China needs to buy coal from the country.

In addition, some domestic enterprises have even built plants in Australia, and then transport coal products to domestic markets, a veteran industry expert told the Global Times on Tuesday.

Analysts said China will not halt buying coal from Australia, but it may push up use of domestic coal. This year, Chinese coal prices have seen a rising trend due to some restrictions aimed at adjusting China’s energy mix and protecting the environment.

China Taiyuan coal transaction price index stood at 126.45 points on Monday, up 0.43 percent week-on-week, reflecting the coal prices in the main production areas of China. Its thermal coal transaction price index came to 113.12 points, up 0.75 percent week-on-week, a third increase in a row since September 14.

Currently, the price of Qinhuangdao port’s 5500 kcal/kg coal has increased to 615 yuan ($91.25) per ton, an increase of 60 yuan per ton from early September.

Before the reported “Australian coal ban”, prices of Australian coal increased following Qinhuangdao coal prices. But now, Australian 5500 kcal/kg coal price has plummeted to $40 per ton for the FOB, about $3 per ton lower compared to the high price in September.

But domestic coal prices will not rise sharply though the country is to enter winter heating season, said Ren, noting that domestic coal producers particularly in Erdos, North China’s Inner Mongolia, recently held several meetings on guaranteeing coal supply in winter.

Oyu Tolgoi hits the Copper Mark Posted by Daniel Gleeson

TURQUOISE Hill Resources says the operator of the Oyu Tolgoi copper-gold mine in

Mongolia has been awarded the Copper Mark, the copper industry’s new independently assessed responsible production program.

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The Copper Mark is the first and only program for responsible production in the copper industry. Originally developed by the International Copper Association with inputs from a broad range of stakeholders including customers, NGOs and producers, the Copper Mark is now an independent entity with a multi-stakeholder council.

In August, Rio Tinto’s Kennecott site in the US became the first producer to be awarded the Copper Mark.

Oyu Tolgoi LLC met over 30 criteria for responsible environmental, social and governance (ESG) operating practices to hit the copper mark, Turquoise Hill said.

“At Turquoise Hill, we are fully committed to responsible production and transparency at Oyu Tolgoi,” Ulf Quellmann, Chief Executive Officer of Turquoise Hill Resources, the 66% owner of Oyu Tolgoi, said. “We congratulate Oyu Tulgoi on this prestigious award, which demonstrates our dedication to protecting the environment and safeguarding the health, safety and welfare of all workers and the local community. We are proud to be part of an operation that is leading the industry in ESG standards and contributing to the sustainable, long-term socio-economic development of Mongolia.”

Since 2010, Oyu Tolgoi has been developing a health, safety and environmental management system in compliance with IOS 14001 Environmental and OHSAS 18001 Occupational Health and Safety management standards. In 2013, Oyu Tolgoi was independently audited and received certification on these standards, Turquoise Hill said. As part of this program, Oyu Tolgoi has made a series of commitments about the way it operates, how it contributes to Mongolia’s society and economy, and how it manages environmental impacts, supporting the long-term development of Mongolia and sustainable supply chains.

Venezuelan coal exports rise as U.S. escalates oil sanctions By Luc Cohen

VENEZUELA is ramping up its production and export of coal to European nations, according

to export figures and vessel tracking data, as it seeks new sources of foreign currency amid tightening U.S. sanctions aimed at topping President Nicolas Maduro.

Venezuela’s coal exports tripled to 310,000 tonnes last year, generating nearly $40 million, after Washington imposed sanctions in January 2019 on state oil company Petroleos de Venezuela (PDVSA), according to figures from the U.N. trade database Comtrade.

This year, exports are on track to exceed that, with shipments of 365,000 tonnes through June generating $37 million, according to the data.

The rising exports show how the OPEC nation has found new sources of overseas earnings following U.S. sanctions on its vital oil and gold industries in the past two years, adapting to restrictions as they arise.

Elliott Abrams, the U.S. Special Representative for Venezuela, has likened sanctions enforcement to “whack-a-mole.”

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The U.S. Treasury Department, which enforces sanctions, referred Reuters to the State Department, which did not respond to a request for comment.

Neither Venezuela’s information ministry nor state-owned coal company Carbozulia responded to requests for comment about the increase in shipments or its customers.

While the rising coal exports do not come close to covering billions of dollars in lost oil revenues, even modest sources of foreign exchange - such as coal or cocoa exports - are a boon to Maduro’s bid to hold onto power.

Venezuela’s central bank received just $477 million in hard currency so far in 2020, down from $40 billion in 2014.

Britain - which does not recognize Maduro’s government and has placed financial sanctions on dozens of Venezuelan politicians and military officers - was one of the main destinations for coal exports.

It received 23.6 million pounds ($30.83 million) in imports of Venezuelan coal through July 2020, up from 13.2 million pounds in 2019 and none in 2018, according to its Office of National Statistics.

The U.K. Foreign, Commonwealth & Development Office told Reuters to seek comment from the Department for International Trade, which did not respond to a request for comment.

One cargo that left Maracaibo port in western Venezuela in mid-March destined for Belfast was purchased by Lissan Coal Company, a unit of LCC Group, according to a Venezuelan port document seen by Reuters.

LCC Group - based in Cookstown, Northern Ireland - did not respond to calls and emails seeking comment. Britain’s foreign office did not respond to a request for comment.

While U.S. sanctions do not explicitly mention coal, they do threaten to sanction any company deemed to have “materially assisted” the government.

Peter Harrell, a sanctions expert at the State Department under Democratic former President Barack Obama, said that likely gives the U.S. government the legal authority to expand sanctions to Venezuela’s coal sector, but it was unlikely to sanction European buyers without warning.

“It would be highly unusual for the U.S. government to sanction a company trading Venezuelan coal without first specifically sanctioning the state-owned enterprise coal exporter,” Harrell said.

LINKS TO SANCTIONED BUSINESSMAN

Venezuela’s annual coal production boomed from less than 100,000 tonnes in 1988 to 8 million tonnes in the mid-2000s, making it Latin America’s third-largest coal producer behind Colombia and Brazil, according to the U.S. Geological Survey.

Output declined after Venezuela’s ruling socialist party boosted the state’s role in the industry, and by 2017 the country produced just 170,000 tonnes of coal, according to the mining ministry.

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The jump in exports came after Venezuela’s state-owned coal company Carbozulia formed a joint venture with a Turkish company, Glenmore Proje Insaat, in 2018 - one of several strategic alliances made with foreign companies in a bid to boost mining output.

The joint venture, Carboturven, has a 20-year license to mine coal in the western state of Zulia.

One person familiar with the Paso Diablo mine’s operations, who spoke on the condition of anonymity, said production had improved since the joint venture was formed.

Glenmore - which has since changed its name to Glenmore Dis Ticaret Ve Madencilikis - is wholly-owned by a British company, according to a review of Turkish and British corporate records

The British firm, London-based Glenmore Solutions Limited, has come under scrutiny by Italian authorities as part of their money laundering probe into Alex Saab, a Colombian businessman close to Maduro, according to a person familiar with the investigation.

At issue is whether Saab used a number of overseas companies that he created to hide the origin of his money, according to the person, who spoke on the condition of anonymity and did not provide further details because the investigation is ongoing.

Lawyers for Saab, who is detained in Cabo Verde fighting a U.S. extradition attempt on charges including money laundering, declined to comment. Saab calls the U.S. charges against him politically motivated.

Neither Glenmore Dis Ticaret Ve Madencilikis nor Glenmore Solutions responded to letters seeking comment.

Reporting by Luc Cohen in New York; Additional reporting by Angelo Amante in Rome, Mircely Guanipa in Maracay, Venezuela, Angus Berwick in London and Ali Kucukgocmen in Istanbul; Editing by Daniel Flynn and Marguerita Choy