Editor’s note
- Acquisition of gold mines by two Indonesian conglomerates: will drive the gold price to a peak of $6,000 by the end of the year
- Acquisitions of gold mines by Indonesian conglomerates
- Global gold supercycle and macroeconomics
- Implications for issuer stock performance and market reaction
Acquisition of gold mines by two Indonesian conglomerates: will drive the gold price to a peak of $6,000 by the end of the year
Prajogo Pangestu and Anthony Salim, two Indonesian conglomerates, have made significant acquisitions in the gold mining sector.
Prajogo Pangestu has acquired Tulu Minerals Limited, owner of the Tulu Kuma gold project in Papua New Guinea, via PT Petrosea (PTRO).
This acquisition transforms PTRO from a mining contractor into a mine owner, thereby increasing potential profit margins. Meanwhile, Anthony Salim, via Bumi, merged with Wolfram Limited and has set his sights on Jubilee Metal as a way to reduce dependence on coal.
This move is seen as a significant signal in the market, pointing to a shift in investments towards gold amidst trends in green energy and net-zero emissions.
Gold prices are expected to continue rising, with JP Morgan, Goldman Sachs, and BNP Paribas anticipating significantly higher prices by 2026.
Factors supporting the rise in gold prices include the Fed’s more accommodative outlook, gold purchases by central banks worldwide, a weakening US dollar index, and rapidly growing US debt.
Market reactions to this acquisition were mixed. PTRO shares rose by 20.22% thanks to the “Prajoko Premium” and the expansion history of Prajogo Pangestu, making them suitable for swing trading. Meanwhile, Bumi shares rose by 7.48%, with slower movement due to the large shareholding, making them more suitable for value investing. A temporary drop in the share price following the rise is considered healthy profit-taking.
The recommended investment strategy is to avoid FOMO (Fear of Missing Out), take advantage of price corrections to gradually add shares, monitor quarterly figures to check whether acquisitions are generating operating profit, and determine an appropriate investment horizon.
This conglomerate’s maneuver shows that “smart investors” view gold as an asset that will continue to increase in value due to global macroeconomic conditions.
Acquisition of gold mines by Indonesian conglomerates
Prajogo Pangestu has acquired Tulu Minerals Limited, owner of the Tulu Kuma gold project in Papua New Guinea, via PT Petrosea (PTRO), for 249.4 billion Indonesian rupees. This acquisition transformed PTRO from a mining contractor into a mine owner, thereby increasing potential profit margins.
Through Bumi, Anthony Salim merged with Wolfram Limited (Crash Creek mine with reserves of 2.63 million tonnes) and has set its sights on Jubilee Metal (Mount Carlton) as a step to reduce dependence on coal.
This maneuver represents a strategic shift away from an outdated industry (coal) and towards precious metals, in line with the trend towards green energy and net-zero emissions. The global supercycle of gold and macroeconomics
Gold is projected to post a gain of nearly 65% by 2025, the strongest annual performance since 1979.
JP Morgan targets a gold price of $5,055 per ounce in 2026, Goldman Sachs $5,400 per ounce, and BNP Paribas $6,000 per ounce by the end of 2026.
Structural catalysts support the rise in the gold price: the Fed is expected to pursue a more dovish policy (low interest rates), central banks worldwide have been buying gold for 17 consecutive years ($634 tons in 2025), the US dollar index is weakening (around 98), and US debt with interest payments is reaching $1 trillion.
Implications for the issuer’s performance and the market reaction
PTRO shares rose by 20.22% thanks to the “Prajoko Premium” and Prajogo Pangestu’s expansion history, making them suitable for swing trading.
Bumi shares rose by 7.48%, with slower movement due to the large number of shares, making them more suitable for value investing or recovery projects.
The temporary decline in share prices following the rally is considered healthy profit-taking and not a sign of panic. ***tok
