SIGNIFICANCE FOR COMPANY
Company realizes that COVID-19 pandemic, which is marked by emergence of various new variants, is a serious challenge for world economy to recover quickly. For this reason, Company continuously adapts and innovates in operational activities with a focus on achieving production in accordance with targets given by customers as well as proper and efficient management of production costs. This is done while ensuring that risk of transmission and impact of pandemic is minimized in accordance with health regulations and government regulations.
POLICY AND STRATEGY: BUSINESS MODEL RESILIENCE
Company implements a business development strategy in Triple-P Roadmap, particularly Portfolio Roadmap which is designed to grow business in a sustainable manner. Over past few years, Company has made various efforts to diversify and expand its business in fields not related to thermal coal as a commitment to building a sustainable business. This strategy is always updated in Plenary Company Plan which is held every year. Results of Plenary Company Plan are then outlined in 3 Years Strategic Planning 2022-2024.
In portfolio strategy that has been made by Company, there are three main strategies to be carried out, namely: Nurture Existing Business, Capturing New Business Opportunities and Capitalize Astra Ecosystem. In existing business development strategy, Company is committed to realizing superior operating activities and most efficient production costs in all business lines. Company is also committed to remaining selective in adding new mining contractor projects.
In its strategy to capture new business opportunities, Company focuses on three things, namely: conducting in-depth studies on development of New and Renewable Energy sources (“NRE”), expanding its gold business ownership overseas and continuing to look for other mineral mining business opportunities such as gold, copper and other minerals. Seeing potential in the future, Company will conduct a study to increase proportion of mineral business segment as one of diversification strategies to provide business resilience.
As one of efforts to diversify business, business development towards NRE is an alternative as a counterweight to Company's current business. Collaboration with Astra Group to build solar PV rooftop is first step to increase competence in NRE sector. Solar PV technology is currently still developing. Existence of innovations in field of energy storage that is more efficient will be able to change direction of solar PV development. In addition, opportunities in other NRE businesses such as hydro and wind power plants will continue to be developed with right partners.