Risk of Changes in Reserve and Resource Estimates

Risks associated with these estimates include the risk of differences between estimates and actual conditions, including possible differences in quantity, volume and other geological conditions, increased production costs and capital expenditure, and others. These estimates are potentially inaccurate and needy adjustments that have the potential to have a material impact on business activities, financial condition, […]

Funding Risks in Development and Construction Projects

The Company’s ability to obtain new funding depends on several factors, such as macroeconomic conditions, metal prices, ability to maintain efficiency, management credibility and debt position. If these things are considered unfavorable by investors or potential creditors, the acquisition of funding can be difficult to do and this will have an impact on the Company’s […]

Compliance with laws and regulations related to the environment

One of the main problems related to the environment is climate change with issues related to the problemfulfillment and supervision of “greenhouse gas emissions”. Although the form of regulations in the future is still unclear at this time, the application of new regulations in the future might affect the Company’s operational and development activities. To […]

Legality Risk – Licensing and Approval

One of the risks faced by the Company is the risks related to overlapping issues, both with legal entities, individuals and / or local communities. To handle this problem formally, the Company makes legal efforts to maintain its territory or concessions through the District Court and / or State Administrative Court.In addition, the provisions in […]

Limited experienced workers and limited equipment

The Company manages its business with the support of a number of skilled and experienced key employees. The loss of potential employees can have a significant impact on the sustainability of the Company’s operations. There is no guarantee that the main employee will continue to work for the Company or the Company will be able […]

Operational Risks

Factors that influence this risk include: Unexpected geological and geotechnical conditions; The possibility of various kinds of operational accidents; Environmental damage including pollution of metal waste, pollution and various materialsother hazards to rivers or clean water sources around the mine site; natural events, such as seismic activity, forest fires, floods, weather changes; and illegal mining […]

Project Development Risks

At each stage in the project development phase, there are potential risks and uncertainties that could materially affect the expected results (project economics). These factors include: Changes in the amount (tonnage), quality, metallurgical properties, and geotechnical conditions of the site to be mined which was not or has not been anticipated before;Realization of higher raw […]

Risk of Exploration Activities

Even though a large amount of tonnage has been discovered through exploration activities, its economic value is highly dependent on metal prices, ore content, metallurgical properties, mining conditions, operating costs and capital expenditure for development and the location of prospective customers. Therefore, there is a possibility of reserves that have no economic value which will […]