BR danareksa sekuritas Equity Research — Company Update ‘Thursday, 14 March 2024 Not Rated PT Bumi Resources Minerals (BRMS) CPM site visit affirms plan to raise FY24 production Las re to) 5 Volume '* We visited BRMS’ second gold plant (CPM) in Palu, whose annual production is now estimated to be 4,500 tpd. ‘= CPM'sthird facility s scheduled to begin operation in 4024 with average (Me, of Shares fan} we ‘capacity of 4,000 tpd, following raised production rate in FY24. ae 22544/1447 _. BRMS currently trades at EV/resources of US$99/oz, with potential 0a ‘ pebaney 45129 earnings growth driver from higher production. ‘Free Float (%) 472 Two factories with ramped up production rates in FY24 We recently visited BRMS’ second gold plant (CPM) in Palu, Central aor Shareoler (8) Sulawesi, The CPM gold plant is located in Poboya, at only around 45 tints aan Goal minutes from the Palu commercial airport. The mine comprises of sx blocks ‘Ventures SPC 254 with a total of 85k hectare of mining concessions. The first gold CIL plant ur Resouces Tk 157 produces 500 tpd and the second plant produces 4,000 tpd on average BRMS relative to JCI Index Source Blomberg [BRI Danareksa Sekuritas Analysts Christian Sitorus (62-21) 5081 4100 ext 506 christian sitorus@brids.co.id Hasan Barakwan (62-21) 5091 4100 x. 3530 hasan.barakwan@brids.coid bridanareksasekuritas.co.id annually. The third facility, which has similar capacity as the second plant, is expected to begin production in 4024. ‘Ample Room to Increase Production Capacity BRMS’ management expects to further boost the production rate of its second plant in FY24 to 3,000-4,000tons/day. We noted that this is supported by a full facility in its production process: a Jaw crusher to break ore into 100mm sizes; b) Sag mill which breaks ore into 20mm sizes. c) Hydrocyclone which separates the fine grains from the coarse grains. d) leach tank (which has a capacity of 850rm) where itis mixed with Carbon and HCN. Finally, the carbon carried out elution and electrowinning before the drying process and further development into dore bullion. Proper test to Produce High Quality Ore We visited the drilling location where samples of ore will be taken. According to its latest report, BRMS total resources currently hovers at 11.8, mn oz with average gold grade at 1.2gr/ton with total reserves of 4.4 mn oz and average gold grade reserve at 1.6 gr/t. BRMSS processing plant facility in. Poboya utilize Carbon in Leach recovery process and the company ‘mentioned for its 3" processing plant and Gorontalo asset will also utilize similar recovery process. ‘APure Gold Play Pro Key Financials SOT ETT TT TY even (USSmn} cry 12 8 33 EBITOA (USS) 2 3 2 B EBITDA Growth (4) 1590 43.1184 456.2, Net Profit (USmn) 6 4 6 10 £95 Growth (1) 9223 (821) (32.7) 48.0 PER (x) 170-989 182.2123. Pav) 1082 11k Lule 1.02, eyjesiton 07 05 03 00, See important disclosure at the back of this report _1BRI Equity Research - Company Update Thursday, 14 March 2024 Exhibit 1. Peers Comparison Party Average grade Avera a 50 ) resou i) sao ma siso ==. 7S4000 10 aa we 255. Heapieech anc se___5s26000__3,604,000, 12 12 a7 zo oe Source: Company BRIDS Estimates Exhibit 2. Coreshed Exhibit 3. Internal Laboratory Exhibit 4 Activities jt 5. Nursery bridanareksasekuritas.co.id See important disclosure at the back of this report __2BRI Equity Research - Company Update Thursday, 14 March 2024 Exhibit 7a. Sag Mill & Ball Mill Exhibit 7b. Internals of the Sag Mill & Ball Mill bridanareksasekuritas.co.id See important disclosure at the back of this report 3BRI Equity Research - Company Update Thursday, 14 March 2024 Exhibit 8. Hydrocyclone Exhibit 9. Carbon and HCN Tank Source: R105 Teor Exhibit 11. Elution & Electrowinning ‘Souree: IDS Teor bridanareksasekuritas.co.id See important disclosure at the back of this report _4J BRI Equity Research - Company Update Thursday, 14 March 2024 Exhibit 12. Furnace Exhibit 13. Dore Bullion bridanareksasekuritas. id See important disclosure at the back ofthis report _5Equity Research - Company Update ROBRIe* ‘Thursday, 14 March 2024 bridanareksasekuritas.co.id Exhibit 14. Income Statement Year t 31 Dec (US$mn} ETT Ee Revenue ut 2 33 cocs a 6) (15) {Gross profit 6 6 7 5 18 EBITDA, 1 2 3 2 13 Oper. profit 1 1 2 10 Interest income ° ° ° ° ° Interest expense ° ° o o o Forex Gary(toss) (0) a 1 a (0) Income From Assoc. Co’ ° ° ° ° ° (other Income (Expenses) “uous 8 ° o Pre-tax profit wot 3 4a 10 Income tax (0) 62) 3 Minor interest 0) 4) (0) (0) (0) Net profit 4 69 4 6 10 Core Net Profit 4 cy “ 6 10 Exhibit 15. Balance Sheet nn 202020212022 ‘Cash & cach equivalent 2 60 10) Receivables 2 0 ° Inventory 8 7 8 8 16 (Other Cure. Asset 3500182 SB 2G aS Feed assets - Net 155438519 50787 (ther non-curcaset 38 283384300379 Total asset 5a 9804080401 4,415 st Debt o 34 8 38 18 Payables oa 50 5a 51 80 ‘Other Curr. Liabites 1 1 3 3 3 Long Term Debt ° 2 56 87 40 (Other LT. Liblities 34 5 4 5 9 Total Liabiles yor 02s as 149 Shareholder'sfunds 6 40874268 ,55 4,73 Minority interests (258.97) (207.57) (20751) (207.48) (207.33) Total Equity & abies 5a 980 3080 atol 415, See important disclosure at the back of this report _6Equity Research - Company Update ROBRIe* ‘Thursday, 14 March 2024 bridanareksasekuritas.co.id Exhibit 16. Cash Flow SS CE TT) Net income 4 6 14 6 Depreciation and Amort 1 2 2 1 3 ‘Change ln Working Capital o o o ° ° OtherOper Cash Flow 4 3 4 2 9 Operating Cash Flow a 67) ay) 6) 8) capex 4s) 78) 68) ‘Others In Cash Flow ( (83) 0} 3) 6 Investing Cash Flow (2) (232) (a8) (99) a2) Net change in debt ° 46 8 49 6) New capital 0 om a 61 ° Dividend payment ° ° ° ° ° ‘other Fin, Cash Flow oa (5) 8) 9 Financing Cash Flow 0 287 mm 07 2 "Net Change in Cash 1 58 (50) 9 (0) ‘cash begin of the year 1 2 60 60 10 ‘Cash-end of the year 2 60 10 7m 10 Exhibit 1. Key Ratio fans 20202021 Er Growth (6), Sales a1 268 10.4 10 2935 ara oo 1590 a3.1184 456.2 Operating profit 824 00-232 1805255 Net profit 2077 16483 (80.2) (63), 62.2 Proftability (%) Gross margin 19 587564596 538.6 EBITDA margin 83 1702 Ba 387 Operating margin as) 82 o1 190-302 Net margin 474 6534-17377 320 RORA 06 38 13 06 10 Rone os 75 12 00 00 Leverage Net Gearing) (00) (0.0) on oo 09 Interest Coverage (x) (7a) 97 a 337 93685 ‘Source 885 See important disclosure at the back of this report _7Equity Research - Company Update ‘Thursday, 14 March 2024 ‘BRI Danareksa Equity Research Team ‘Erindra Keisnawan, CFA Natalia Sutanto [Niko Margaronis Hasan Barakwan Victor Stefano {smal Fakhri Suweleh Richard Jerry Tambayong Ni Putu Wiastita Muthia Sofi ‘aura Reyinan Muchlis, Sebela Nur Amalina Christian Immanuel Sitorus Head of Equity Research, Strategy, Coal Consumer, Cigarettes, Pharmaceuticals, Retall Telco, Tower, Technology, Media Metal, Oil and Gas Banks, Poultry Healthcare, Property, Industral Estate ‘Automotive, Cement Research Associate Research Associate Research Associate Research Associate erindra.krisnawan@brids.co.id natalia sutanto@brids.co.id riko.margaronis @brids,c0.id hasan barakwan@brids.coid victorstefano@brids.co.id smal suweleh@brids,co.id richard jerry@brids.co ie wilastita sofi@brids.co.i naura.muchlis@brids.co.id sabela.amalina@brids.co.id christian sitorus@brids.co.id ‘BRI Danareksa Economic Research Team Helmy Kristanto Dr. Telisa Aula Falianty Kefas Sidauruk ‘Chief Economist, Macro Strategy Senior Advisor Economist helmykristanto@brids.coid 1elsa falianty@brids.co.id kefas sidauruk@brids coud TT Yofi Lasini Noveita Endah Putriant Ehrliech Suhartono Yunita Nababan Adeline Solaiman Andreas Kenny Christy Halim Jason Joseph Head of Institutional Sales and Dealing. Institutional Sales Unit Head Institutional Sales Associate Institusional Sales Associate Institutional Sales Associate Institutional Sales Associate Institutional Sales Associate Institutional Sales Associate vofuasini@brids.co.id ovrta putrianti@brids.co.d ebrliech@brids.coid ‘yunita@brids.co.id adeline solaiman@brids.co.id andreas kenny@brids.co.id ‘visty halim@brids.co.id Jason joseph @brids.co.id ‘Mitcha Sondakh Suryanti Salim | Head of Sales Trader Sales Trader rmitcha.sondakh@brids cod survant salim@briés.cold Expected total return of 10% or more within a 12-month period Expected total return between -10% and 10% within a 12-month period Expected total return of -10% or worse within @ 12-month period BUY HOLD SELL Disclaimer ‘Te infermation contained inthis report has been taken fom sources which we deem reliable, However, none of PT Bl Danareksa Sekurites andor its affilated and/or their respective employees anc/er agents makes any representation or warrant (express or implied) or accepts any responsibility or ability sto, o in relation to, the accuracy or completeness of the information and opinions contained in thisrepert orasto ‘any information contained inthis report er any ether such information or opinions remaining unchanged ater the iste thereof. \We expressly dscaim any responsibility o ability (express or impliad) of PT 8Fl Danareksa Sekurias satiated companis and their respective employees and agents whatsoever and howsoever rising including, without limitations fer any claims, proceedings, action, suits, losses, expensas, damages or costs) which may be brought against orsutferec by any person as results cf actingin reliance upon the whole oF ny nar of the contents ofthis raport and neither TERI Daneraksa Sekurites, fe afliatac companias orthairrasaective amployess or agents secept liability for any errors, omissos or misstatement, negligent or otherwise, inthe report and any liability in espoectof the report or any ‘inaccuracy therein or omission therefrom which migh otherwise aise is hereby expresses disclaimed. the information contained in the report is nett be taken as any recommendation made by PT BRI Danareksa Sekurtes or any other person to lenterinta any agreement with ragaré ta any investment mantiond in this document. 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