Indonesian miner Antam’s net income soars on gold demand

Sales up 20%

The company attributed this performance primarily to gold sales, which climbed 20% to 1.1 million troy ounces during the period.

“Global geopolitical uncertainty, financial market fluctuations, and inflation are driving investors to shift their assets to gold as a safe haven,” adding that these factors boosted demand in the domestic market, it said in an accompanying statement released Monday.

Gold has performed exceptionally well despite recent declines, up more than 50% this year as concerns over the US economy and eroding confidence in the dollar prompted a flight to haven assets.

The metal reached an all-time high of $4,381.52 last week and has provided tailwind for miners like Antam.

Antam said it is actively seeking to purchase gold from other domestic sources to further strengthen its raw material supply chain for local sales. Additionally, it is searching for more gold sources to increase its reserves and resources.

The company’s own gold output for the nine-month period stood at 18,969 troy ounces. Beyond gold, Antam’s operations also include the production of silver, nickel ores, ferronickel, bauxite, and chemical grade alumina.

Its shares fell 1.6% in early trading on Tuesday along with Asian gold-related stocks after the precious metal declined to below $4,000 on Monday as progress in US-China trade relations reduced demand for the haven asset.