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PT ADARO ENERGY INDONESIA TBK (IDX: ADRO) 9M23 EARNINGS
NEWS RELEASE
Jakarta, October 31, 2023 – PT Adaro Energy Indonesia Tbk (IDX: ADRO) today released its
consolidated financial statements for the nine-month period ending September 30, 2023 (9M23)
to IDX/FSA. Overall, earnings remain resilient supported by stable coal prices and excellent
operations.
President Director and Chief Executive Officer, Mr. Garibaldi Thohir, said:
“Despite declining prices and inflationary cost pressures, our integrated business model
continues to perform well. We are on track to achieve our FY23 targets on the back of solid
execution in each of our businesses. We are also well positioned to take part in Indonesia’s
downstream initiatives which underlines our commitment to long-term sustainable
growth.”
Highlights
• We recorded an 11% increase in sales volume to 49.12 Mt, with revenue declining by 16% to
$4,981 million, due to a 25% lower average selling price (ASP).
• We booked core earnings of $1,418 million in 9M23 and operational EBITDA of $1,944 million.
• In line with our investment plans, capex increased 71% to $473 million. Capex spending was
mainly for investment in heavy equipment, barges and supporting infrastructure at our supply
chain, whilst commencing our investment in aluminum smelter and its ancillary facilities.
• ADRO’s balance sheet remains healthy with a net cash position of $1,835 million as of end of
9M23.
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Financial Performance
($ Millions, except otherwise stated) 9M23 9M22 % Change
Revenue 4,981 5,913 -16%
Cost of Revenue (2,993) (2,548) 17%
Gross Profit 1,988 3,365 -41%
Operating Income 1,619 3,152 -49%
Core Earnings(1) 1,418 2,331 -39%
Operational EBITDA(2) 1,944 3,798 -49%
Total Assets 10,394 10,032 4%
Total Liabilities 2,984 3,743 -20%
Total Equity 7,410 6,289 18%
Interest Bearing Debt 1,647 1,643 0%
Cash and Cash Equivalents 3,425 3,353 2%
Net Debt (Cash)(3) (1,835) (1,843) 0%
Capital Expenditure(4) 473 277 71%
Free Cash Flow(5) 1,448 2,071 -30%
Basic Earnings Per Share (EPS) in US$ 0.039 0.061 -36%
Financial Ratios
9M23 9M22 % Change
Gross Profit Margin (%) 40% 57% -17%
Operating Margin (%) 33% 53% -20%
Operational EBITDA Margin (%) 39% 64% -25%
Net Debt (Cash) to Equity (x) (0.25) (0.29) -14%
Net Debt (Cash) to last 12 months Operational EBITDA (x) (0.58) (0.39) -49%
Cash from Operations to Capex (x) 1.87 11.39 -84%
1
Profit for the period, excluding non-operational items net of tax (amortization of mining properties, prior year tax assessment,
allowance (recoverable) for uncollectible receivables, and provision for decommissioning costs)
2
EBITDA excluding prior year tax assessment, allowance (recoverable) for uncollectible receivables, and provision decommissioning
costs.
3
After deduction of cash and cash equivalent and current portion of other investments.
4
Capex spending defined as: purchase of fixed assets – proceed from disposal of fixed assets + payment for addition of mining
properties + addition of lease liabilities.
5
Operational EBITDA – taxes – changes in trade receivables, inventories, and trade payables – capital expenditure excluding lease
liabilities.
Operating Segment
Segment Revenue Net Profit
($ Millions) 9M23 9M22 % Change 9M23 9M22 % Change
Coal mining & trading 4,839 5,796 -17% 1,086 1,786 -39%
Mining services 787 627 25% 73 37 98%
Others 488 382 28% 222 353 -37%
Elimination (1,133) (892) 27% (4) (8) -50%
Total 4,981 5,913 -16% 1,378 2,169 -36%
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FINANCIAL PERFORMANCE ANALYSIS FOR THE FIRST NINE MONTHS OF 2023 (9M23)
Revenue, Average Selling Price and Production
We booked revenue of $4,981 million in 9M23, a 16% decrease compared to 9M22. Production
and sales were 12% and 11% higher at 50.73 Mt and 49.12 Mt respectively, which was offset by
a 25% decline in average selling price (ASP).
Cost of Revenue
Cost of revenues increased by 17% y-o-y to $2,993 million, mainly due to increased royalty
expenses for PT Adaro Indonesia (AI) compared to the year ago period. Mining costs and
processing costs also increased driven by higher volume. We recorded a 25% increase in
overburden removal to 217.43 Mbcm, and recorded a strip ratio of 4.29x, 12% higher than in
9M22.
Total fuel costs increased by 18% in line with the 33% increase in fuel consumption. Coal cash
cost per tonne (excluding royalty) in 9M23 increased by 11% from 9M22.
Operating Expenses
Operating expenses in 9M23 increased by 43% y-o-y to $332 million, mainly due to the accrual
of non-tax state revenue and regional government revenue, and higher allowance for Government
charges.
Royalties to the Government and Income Tax Expense
Royalties to the Government increased 33% to $1,170 million from $882 million, while income tax
expense decreased 71% to $332 million from $1,165 million. After AI was granted the IUPK-KOP
in September of 2022, starting from January 1, 2023, it began to implement the provision on
taxation and non-tax revenue (PNBP) in accordance with the prevailing regulations.
The IUPK-KOP has increased AI’s royalty rate to the range of 14% to 28%, from the previous
13.5%. However, the corporate income tax rate decreased from 45% to 22%. The IUPK-KOP also
brings about other changes to AI’s business, such as non-tax state revenue (PNBP) for central
government and local government’s portion in accordance with the provisions of laws and
regulations. AI accounted for 74% of Adaro Group’s production in 9M23.
Operational EBITDA and Core Earnings
ADRO’s operational EBITDA declined by 49% y-o-y to $1,944 million and core earnings declined
by 39% to $1,418 million in 9M23 on the back of lower ASP and higher costs. Our operational
EBITDA margin in 9M23 was 39%.
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Net profit for the period of $1,378 million already accounted for the non-tax state revenue (PNBP)
for central government (4% portion) and local government (6% portion).
Total Assets
Total assets at the end of 9M23 increased by 4% to $10,394 million compared with $10,032 million
at the end of 9M22. Our cash balance at the end of 9M23 increased 2% to $3,425 million and
cash and cash equivalents represent 33% of our total assets.
Current assets at the end of 9M23 were relatively unchanged at $4,537 million compared to
$4,548 million at end of 9M22. Non-current assets at the end of 9M23 were 7% higher from the
year ago period at $5,857 million due to increases in fixed asset and investments in joint ventures
mainly from purchases of heavy equipment and vessels, and our initial investment in KAI and KPI.
Fixed Assets
Fixed assets as at the end of 9M23 of $1,667 million were 21% higher than at the end of 9M22
as we increased capex spending during the period mainly for purchases of heavy equipment,
vessels, and investment in aluminium smelter and its ancillary facilities. Fixed assets accounted
for 16% of total assets.
Mining Properties
At the end of 9M23, our mining properties were 4% lower y-o-y to $1,005 million, due to regular
amortization. Mining properties accounted for 10% of total assets.
Total Liabilities
Total liabilities at the end of 9M23 were $2,984 million, 20% lower compared to the same period
last year mainly due to the 94% decline in corporate income tax payable, despite accrued
expenses increasing by 174% and other taxes payable increasing by 87% in line with changes in
government regulations. Current liabilities decreased by 36% y-o-y to $1,189 million and non-
current liabilities decreased by 5% y-o-y to $1,795 million.
Debt Management and Liquidity
ADRO’s cash balance at the end of 9M23 increased by 2% to $3,425 million from $3,353 million
y-o-y. Adaro also had access to $57 million in other investments and a total of $1,763 million in
undrawn committed loan facilities from various outstanding loans at 9M23, increasing total
liquidity to $5,245 million at the end of 9M23. Interest bearing debts remains relatively unchanged
y-oy at $1,647 million.
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Equity
At the end of 9M23, shareholder’s equity stood at $7,410 million, representing an increase of 18%
y-o-y driven by higher retained earnings.
Cash Flows from Operating Activities
During 9M23, ADRO’s cash flows from operating activities declined by 73% to $799 million from
$2,907 million y-o-y driven by the increase in payments of royalties and income tax as well as
payments to suppliers. We paid $1,454 million in corporate and final income tax, an increase of
216% y-o-y. Moreover, effective in 2023, AI’s corporate income tax rate has decreased to 22%
from 45%.
Cash Flows from Investing Activities
The company reported $392 million in net cash outflows used in investing activities, 30% lower
than in 9M22, mainly driven by the 72% increase in purchase of fixed assets to $412 million.
Capital Expenditure
Capital expenditure in 9M23 increased by 71% to $473 million from $277 million in the year ago
period. The capital expenditure spending in the period was mainly for purchases and replacement
of heavy equipment and vessels, initial investment in the aluminum smelter and its ancillary
facilities, and investment in infrastructure.
Cash Flows from Financing Activities
Net cash outflow from financing activities in 9M23 increased by 35% to $1,058 million, mainly due
to higher dividend payment. The company distributed $1,000 million as cash dividend to
shareholders for FY22.
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PT ADARO ENERGY INDONESIA TBK (IDX: ADRO) 9M23 ACTIVITIES
REPORT
9M23 HIGHLIGHTS
• Sales volume of ADRO and its subsidiaries (Adaro Group) reached 49.12 Mt in 9M23,
corresponding to an 11% increase from 9M22. This result is tracking our FY23 sales
volume target of 62 – 64 Mt.
• Production volume increased 12% to 50.73 Mt in 9M23 while overburden removal volume
increased 25% to 217.43 Mbcm in 9M23. Our strip ratio reached 4.29x, 12% higher than
in 9M22 and in line with our target of 4.2x for FY23.
• Sales of metallurgical coal through subsidiary PT Adaro Minerals Indonesia Tbk (ADMR)
were up by 38% to 3.01 Mt in 9M23. ADMR is tracking its FY23 sales volume target of 3.8
– 4.3 Mt.
• PT Kalimantan Aluminium Industry (KAI) has appointed all main contractors for
construction and installation of the aluminium smelter. KAI has completed land clearing
for permanent dorms, coastal jetty breakwater, and construction of ancillary facilities,
earthworks, and construction of a temporary jetty and continues to work on the
construction of other infrastructure related facilities.
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Historical Quarterly Production Volume (Mt)
20.0
17.4 17.5 17.7 17.3
15.7 15.9 15.7
14.9 15.1 14.7
15.0 13.8 13.9 14.4 13.8 13.4 13.6 13.2 13.1
13.1 12.9 12.9
12.1
11.0
10.0
5.0
-
Historical Quarterly Sales Volume (Mt)
20.0
16.7 17.2 16.9 16.5
15.5 15.1 15.4 15.9 15.3 15.7
14.5 14.4
15.0 13.4 13.6 13.4
12.9 12.7 12.6 13.2 13.1 12.7 12.2
10.9
10.0
5.0
-
Historical Quarterly Overburden Removal Volume and Strip Ratio
150.0 5.5 6.0
5.3 5.3
4.9 5.1
4.6
OB Removal Volume (Mbcm)
4.6 4.5 4.5 4.5 5.0
120.0 4.4
4.1 4.2 4.1 4.0 4.1 4.1
3.7
3.5 3.6 3.5 4.0
3.5
Strip Ratio (x)
3.4 87.6
90.0 81.3 82.5
69.2 71.5 73.4
69.0 66.0 3.0
61.5 62.1 62.7 62.1
54.0 57.7 57.8 53.9 56.5
60.0 49.853.2 49.152.5 45.948.2
2.0
30.0
1.0
- -
4Q19
1Q18
2Q18
3Q18
4Q18
1Q19
2Q19
3Q19
1Q20
2Q20
3Q20
4Q20
1Q21
2Q21
3Q21
4Q21
1Q22
2Q22
3Q22
4Q22
1Q23
2Q23
3Q23
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SUMMARY OF 9M23 OPERATIONS
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Production Volume Mt 17.31 17.72 -2% 17.35 0% 50.73 45.37 12%
AI Mt 12.49 13.17 -5% 12.97 -4% 37.47 35.85 5%
Balangan Coal Companies Mt 2.25 2.15 5% 2.36 -5% 6.29 4.85 30%
ADMR Mt 1.44 1.32 9% 1.04 39% 3.98 2.56 55%
MIP Mt 1.14 1.08 6% 1.00 14% 2.98 2.10 42%
Sales Volume Mt 16.50 16.90 -2% 16.68 -1% 49.12 44.17 11%
Thermal - Medium CV Mt 11.35 11.44 -1% 11.82 -4% 33.82 32.98 3%
Thermal - E4200 Mt 3.95 4.50 -12% 3.96 0% 12.29 9.00 37%
Met Coal Mt 1.19 0.97 23% 0.90 32% 3.01 2.19 38%
Overburden Removal Mbcm 87.60 73.38 19% 71.46 23% 217.43 173.52 25%
AI Mbcm 66.58 57.02 17% 57.55 16% 168.58 142.93 18%
Balangan Coal Companies Mbcm 10.75 8.27 30% 7.61 41% 25.28 19.53 29%
ADMR Mbcm 6.27 4.25 47% 2.55 145% 13.81 6.05 128%
MIP Mbcm 4.00 3.84 4% 3.75 7% 9.75 5.01 95%
Strip Ratio x 5.06 4.14 22% 4.12 23% 4.29 3.82 12%
ADARO GROUP SALES BY DESTINATION IN 9M23
Thermal Coal Sales
India
12% Indonesia
24%
Northeast Asia
18%
China
22%
Southeast Asia
25%
Indonesia accounts for approximately 24% of our thermal coal sales in 9M23. While quarterly
sales to the domestic market may fluctuate, our annual volume-based contracts keep us on target
to contribute more than 25% of sales to the domestic market.
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Sales of ADMR’S Metallurgical Coal (for steelmaking)
Korea
7%
Indonesia
14% Japan
33%
India
20%
China
26%
ADARO ENERGY PILLAR
1. MINING
PT Adaro Indonesia (AI)
• AI’s production volume in 9M23 reached 37.47 Mt, 5% higher than in 9M22. Sales
volume in the period reached 43.07 Mt, 7% higher than in 9M22.
• Total overburden removal from AI’s three pits reached 168.58 Mbcm, an 18% increase
from 9M22, resulting in a strip ratio of 4.50x in 9M23.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Overburden Removal Mbcm 66.58 57.02 17% 57.55 16% 168.58 142.93 18%
Production Volume Mt 12.49 13.17 -5% 12.97 -4% 37.47 35.85 5%
Sales Volume Mt 14.21 14.79 -4% 15.10 -6% 43.07 40.37 7%
Balangan Coal Companies (BCC)
• Balangan Coal Companies produced 6.29 Mt of coal in 9M23, 29% higher than in
9M22. Total overburden removal of 25.28 Mbcm was 29% higher from 9M22, leading
to a strip ratio of 4.02x in 9M23.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Overburden Removal Mbcm 10.75 8.27 30% 7.61 41% 25.28 19.53 29%
Production Volume Mt 2.25 2.15 5% 2.36 -5% 6.29 4.86 29%
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PT Mustika Indah Permai (MIP)
• MIP recorded a 42% increase in production volume vs 9M22, reaching 2.98 Mt. 9M23
sales volume reached 3.05 Mt, 88% higher than in 9M22.
• Overburden removal volume in 9M23 reached 9.75 Mbcm, 95% higher than in 9M22.
Increasing heavy equipment availability and utilization, and supportive weather
conditions boosted overburden removal. Strip ratio in 9M23 increased 37% to 3.27x.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Overburden Removal Mbcm 4.00 3.84 4% 3.75 7% 9.75 5.01 95%
Production Volume Mt 1.14 1.08 6% 1.00 14% 2.98 2.10 42%
Sales Volume Mt 1.10 1.14 -4% 0.68 62% 3.05 1.62 88%
Kestrel Mine (Kestrel)
• In 9M23, Kestrel recorded saleable coal production volume of 4.15 Mt, 6% lower than
in 9M22. Kestrel’s sales volume in 9M23 was 4.02 Mt, 9% decline from 9M22.
• Kestrel’s saleable production in 9M23 was less than forecast due to lower processing
capacity as a result of high clay and dilution content in stocks being processed in the
plant. This may result in FY saleable production being slightly lower than initially
forecasted.
• Kestrel’s sales destinations are dominated by customers in major Asian markets.
Japan was Kestrel’s largest sales destination in 9M23 followed by India and Korea.
Adaro Capital Limited (48%), a subsidiary of ADRO, and EMR Capital Ltd (52%) own
80% of interest in Kestrel.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Saleable Production Mt 1.63 1.34 22% 1.26 30% 4.15 4.44 -6%
Sales Volume Mt 1.78 1.10 61% 1.22 46% 4.02 4.40 -9%
2. SERVICES
PT Saptaindra Sejati (SIS)
• In 9M23, SIS’s overburden removal volume increased 21% y-o-y to 166.84 Mbcm.
SIS’s production volume in 9M23 reached 46.86 Mt, a 9% increase from in 9M22 –
driven by higher production output from the Adaro Group.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Overburden Removal Mbcm 66.80 55.49 20% 53.17 26% 166.84 137.72 21%
Production Mt 15.75 16.32 -3% 16.04 -2% 46.86 42.89 9%
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3. LOGISTICS
PT Maritim Barito Perkasa (MBP)
• MBP’s barging volume in 9M23 increased by 15% to 47.71 Mt, with volume from the
Adaro Group accounting for almost all of MBP’s total barging volume in the period.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Coal barging Mt 16.20 16.51 -2% 15.67 3% 47.71 41.63 15%
4. POWER
Our power plants continued to perform well in 3Q23. The availability factor for PT Makmur
Sejahtera Wisesa (MSW) reached 99.97%, averaging 86.91% up until September 2023. For
PT Tanjung Power Indonesia (TPI), its availability factor was 81.47% in 3Q23, averaging
89.96% for 9M23. Meanwhile, following the planned outage, the availability factor for PT
Bhimasena Power Indonesia (BPI) was 70.23% during the quarter, bringing its availability
factor to 81.50% for YTD up to September 2023.
PT Adaro Power and PT Adaro Clean Energy Indonesia continue to develop the group’s green
initiatives. MSW’s Solar PV in Kelanis produced 207.68 MWh in 3Q23, reaching 602.94 MWh
for 9M23. Other carbon emission reduction initiatives include the continuation of biomass co-
firing at MSW in 3Q23, which equals a 738.17 Ton CO2e (1.87%) reduction of CO2 equivalent,
reaching 2,130.74 Ton CO2e.
PT Kaltara Power Indonesia (KPI) is conducting piling works in the power plant area. KPI’s
power plant will provide electricity for KAI’s aluminum smelter and the power plant is expected
to be completed in time for the smelter to start production in 2025.
5. WATER
Adaro Water continues to support the Indonesian government in its mission to improve the
distribution of clean water to the people of Indonesia. Adaro Water's water treatment
businesses have maintained operational and financial performance in line with projections for:
(i) PT Drupadi Tirta Intan in Banjar Regency, South Kalimantan at 500 lps; (ii) PT Adaro Tirta
Mentaya in Sampit City, Central Kalimantan at 320 lps; (iii) PT Adaro Tirta Gresik in Gresik
Regency, East Java at 400 lps; and (iv) PT Dumai Tirta Persada in Dumai Regency, Riau at
250 lps.
In addition, Adaro Water is also developing other projects around Indonesia, including:
1. Adaro Water is still in the process of installing water meters, addressing clean water
distribution problems, and repairing water leaks in the northern part of Bandung as part of
the Non-Revenue Water (NRW) project in the project area.
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2. For the construction of Water Treatment Plant (WTP) in Bekasi, East Java, PT Grenex
Tirta Mandiri is currently constructing a WTP with a capacity of 200 lps and scheduled to
be completed by first quarter of 2024.
3. For the construction of Water Treatment Plant (WTP) in Medan, North Sumatra, PT Adaro
Tirta Brayan is currently constructing a WTP with a capacity of 500 lps and scheduled to
be completed by the second quarter of 2024.
4. To support Adaro Group's other activities, PT Adaro Tirta Sarana: (i) has built a 5 lps WTP;
and (ii) in the construction phase of a 2x100 lps WTP, for the aluminium smelter in the
industrial park in North Kalimantan.
5. In the mine water business, PT Adaro Tirta Sarana’s slurry and dewatering pump
operations continue to grow in support of Adaro Group mining activities.
ADARO MINERALS PILLAR
PT Adaro Minerals Indonesia Tbk (IDX: ADMR)
PT Maruwai Coal and PT Lahai Coal
• Production volume in 9M23 reached 3.98 Mt, 55% higher than in 9M22, with sales
increasing by 38% to 3.01 Mt. Production and sales increased in-line with the higher sales
target for FY23 of 3.8 – 4.3 Mt.
• Overburden removal volume reached 13.81 Mbcm in 9M23, 128% higher than in 9M22,
leading to a 9M23 strip ratio of 3.47x, a 47% increase from 9M22. We began overburden
removal activities from PT Lahai Coal’s concession in the period and booked 1.62 Mbcm
of overburden removal from Lahai.
• Japan was the largest sales destination for our hard coking coal product in 9M23,
accounting for approximately 33% of sales.
3Q23 vs. 3Q23 vs. 9M23 vs.
Units 3Q23 2Q23 3Q22 9M23 9M22
2Q23 3Q22 9M22
Overburden Removal Mbcm 6.27 4.25 47% 2.55 145% 13.81 6.05 128%
Maruwai Mbcm 4.65 4.25 9% 2.55 82% 12.20 6.05 102%
Lahai Mbcm 1.62 - 100% - 100% 1.62 - 100%
Production Volume Mt 1.44 1.32 9% 1.04 39% 3.98 2.56 55%
Maruwai Mt 1.36 1.32 3% 1.04 30% 3.90 2.56 52%
Lahai Mt 0.08 - 100% - 100% 0.08 - 100%
Sales Volume Mt 1.19 0.97 23% 0.90 32% 3.01 2.19 38%
Maruwai Mt 1.19 0.97 23% 0.90 32% 3.01 2.19 38%
Lahai Mt - - - - - - - -
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PT Kalimantan Aluminium Industry (KAI)
• After signing of facility agreement in 2Q23, KAI – a subsidiary of ADMR, has appointed all
main contractors for the construction and installation of its smelter.
• KAI is now focused on the pre-construction of the aluminium smelter and by end of 3Q23,
KAI has completed land clearing of the permanent dorms, coastal jetty breakwater, and
construction of ancillary facilities such as an outdoor laydown warehouse, heavy
equipment workshop, and batching plant. KAI has also started the piling works for the
foundation of the aluminium smelter area, and the construction of other supporting
facilities including a temporary camp, indoor warehouse, and brick factory.
ADARO GREEN PILLAR
• The Adaro Green pillar is set up to accommodate our aspiration to build a bigger and
greener Adaro by seizing opportunities in Indonesia’s green economy. Through ACEI and
its subsidiaries, the Adaro Group is undergoing feasibility studies to develop multiple
renewable sources of energy.
• PT Kayan Hydropower Nusantara, which will provide green electricity to the green
industrial park in North Kalimantan, continues their development activities and in 3Q23
they awarded contracts for diversion tunnel and explosive magazines works.
• In September 2023, Adaro Solar International Pte. Ltd. was granted Conditional Approval
by the Energy Market Authority (EMA) of Singapore to supply 0.4 GW of low-carbon
electricity.
• ACEI through its subsidiary PT Adaro Sarana Energi Terbarukan (ASET), is reducing
some of the diesel consumption used at PT Maruwai Coal with a 4MW mini-hydro power
plant. The project is now finalizing the appointment of EPC contractor and turbine
manufacturer. ASET is also conducting technical study in preparation to develop a hybrid
of solar PV and battery storage to reduce the diesel consumption at Kelanis coal terminal.
ASET will continue developing renewable projects within Adaro Group to demonstrate the
commitment to transform to green.
HEALTH, SAFETY AND ENVIRONMENT (HSE)
In 9M23, we experienced nine lost-time injuries (LTI) and one fatality throughout Adaro Group’s
operations. We recorded a lost-time injury frequency rate (LTIFR) of 0.10 in 9M23, and severity
rate (SR) of 65.55. The man-hours worked in 9M23 totaled 96,111,809.
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CORPORATE ACTIVITIES AND AWARD
July 2023
• PT Adaro Energy Indonesia Tbk (AEI) was awarded the 2022 Padmamitra Award by the
Ministry of Social Affairs in collaboration with Indonesia CSR Forum, for the Environmental
Conservation and Biodiversity category. AEI was awarded for the efforts to carry out
conservation initiatives on the proboscis monkey and the ecosystem at Bakut Island
Natural Tourism Park.
August 2023
• PT Adaro Indonesia (AI) was awarded the E2S Proving League 2023 Platinum Award for
the environmental impact category for the Mamanda (Independent and Empowered
Community) Village Program by the Energy and Mining Editor Society (E2S). This is the
second year AI received the Platinum Award from E2S.
• PT Adaro Energy Indonesia Tbk (AEI) received the Best Awards at the Bisnis Indonesia
Corporate Social Responsibility Award (BISRA) 2023 event for the Social Element
category, as a recognition for the successful implementation of the social and
environmental responsibility program through the Mamanda (Independent and
Empowered Community) Village Program.
• PT Adaro Indonesia (AI) was awarded the prestigious ASEAN Coal Awards 2023 held by
The ASEAN Centre for Energy in collaboration with AFOC Council for the Coal Handling
and Distribution category. The award recognizes AI’s implementation of Good Mining
Practices across its operations, implementation of best practices in environmental
management as well as sustainable community development programs.
September 2023
• PT Adaro Minerals Indonesia Tbk launched Enviromet at the 2023 Coaltrans Asia event
in Bali. Enviromet is produced by Indonesia’s largest hard coking coal operations with
unique characteristics of ultra low ash, low phosphorus and high vitrinite, making this a
premium product in the metallurgical coal market. These qualities are essential in
maintaining an efficient, high quality and environmentally friendly coke and steel making.
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These materials have been prepared by PT Adaro Energy Indonesia Tbk (the “Company”) and have not been
independently verified. No representation or warranty, expressed or implied, is made and no reliance should be placed
on the accuracy, fairness or completeness of the information presented or contained in these materials. The Company
or any of its affiliates, advisers or representatives accepts no liability whatsoever for any loss howsoever arising from
any information presented or contained in these materials. The information presented or contained in these materials
is subject to change without notice and its accuracy is not guaranteed.
These materials contain statements that constitute forward-looking statements. These statements include descriptions
regarding the intent, belief or current expectations of the Company or its officers with respect to the consolidated results
of operations and financial condition of the Company. These statements can be recognized by the use of words such
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as “expects,” “plan,” “will,” “estimates,” “projects,” “intends,” or words of similar meaning. Such forward-looking
statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ
from those in the forward-looking statements as a result of various factors and assumptions. The Company has no
obligation and does not undertake to revise forward-looking statements to reflect future events or circumstances.
These materials are for information purposes only and do not constitute or form part of an offer, solicitation or invitation
of any offer to buy or subscribe for any securities of the Company, in any jurisdiction, nor should it or any part of it form
the basis of, or be relied upon in any connection with, any contract, commitment or investment decision whatsoever.
Any decision to purchase or subscribe for any securities of the Company should be made after seeking appropriate
professional advice.
For further information please contact:
Investors
Thomas Coombes | Thomas.Coombes@adaro.com
Media
Febriati Nadira | Febriati.Nadira@adaro.com
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