Indonesian gold miner Amman is said to consider $600m IPO

Image courtesy of PT Amman Mineral

PT Amman Mineral Nusa Tenggara, which owns the second-largest copper and gold mine in Indonesia, is weighing an initial public offering that could raise as much as $600 million, according to people familiar with the matter.

The company is working with advisers to list in Jakarta as early as the fourth quarter, said the people, asking not to be named as the information is private. The firm also owns other prospective copper and gold mines located in West Sumbawa regency in West Nusa Tenggara province, according to its website.

Amman Mineral would be joining companies such as Lion Air, pharmaceutical firm PT Soho Global Health and PT Bank DKI in seeking a listing in Jakarta this year. Bloomberg News reported in March that Indonesia’s biggest private carrier has been discussing a fundraising target of around $1 billion through an IPO.

Companies have raised a total of $25.5 million through IPOs so far this year, down from $67.7 million during the same period in 2018

Any deal, in particular by Amman Mineral or Lion Air, would electrify the first-time stock sales in Southeast Asia’s largest economy this year. Companies have raised a total of $25.5 million through IPOs so far this year, down from $67.7 million during the same period in 2018, according to data compiled by Bloomberg.

No final decisions have been made, and details including the size and timing of any deal could change, the people said. A representative from Amman Mineral declined to comment.

Amman Mineral, which started operations in 2000, has produced about 3.6 million tons of copper and 8 million ounces of gold, according to its website. It also owns facilities that include a processing plant with 120,000 tons capacity per day, an 112-megawatt coal-fired power plant, a port with a ferry terminal, air services and a townsite.

PT Amman Mineral Internasional controls 82.2 percent of Amman Mineral while PT Pukuafu Indah has the remaining stake. PT AP Investment and PT Medco Energi International Tbk each holds 50 percent in PT Amman Mineral Internasional.

(By Fathiya Dahrul and Elffie Chew)

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