Bumi Resources Accelerates Diversification with Jubilee and Wolfram Acquisitions as New Growth Pillars

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JAKARTA, Investortrust.id — Bumi Resources, one of Indonesia’s largest mining companies under the Bakrie and Salim conglomerates, has intensified its diversification drive beyond coal. The company targets non-coal revenue to contribute half of total income by 2030 through strategic acquisitions of two Australian mining firms.

Bumi Resources has acquired 41.36% of Jubilee Metals Limited, a gold-producing miner in Australia, and 99.68% of Wolfram Limited, which operates gold and copper assets. The company aims to complete full ownership of Wolfram by the end of November 2025.

Head of Research Kiwoom Sekuritas Indonesia Liza Camelia Suryanata said the acquisitions broaden Bumi’s exposure to precious and base metals, reinforcing its non-coal growth strategy. “This move expands Bumi’s reserves in gold and copper while diversifying its earnings base at the group level,” she told Investortrust on Wednesday, Nov. 5, 2025.

Bumi Resources’ non-coal revenue share has risen sharply, driven primarily by gold, which contributed 17% of total income in the third quarter of 2025, up from 11% a year earlier. Wolfram’s estimated reserves stand at around US$ 2.26 billion and will be fully consolidated by the end of 2025.

According to Liza, the 41.36% stake in Jubilee Metals gives Bumi direct exposure to an operating gold producer, while synergies with Bumi’s affiliate BRMS—focused on gold and copper—will strengthen the group’s non-coal growth trajectory.

The financial benefits from these acquisitions, however, will take time to materialize. “The full impact will likely be reflected in Bumi’s consolidated 2026 financial results as integration continues,” Liza added. In the third quarter of 2025, Bumi’s revenue rose 11.9% year-on-year, but net profit fell 76% due to weaker coal prices.

“Gold and copper contributions remain in the early stage, but they will be key performance drivers in the coming years,” she said, adding a speculative buy recommendation with an average-up strategy at Rp 144–146 and a target price range of Rp 165–168.

President Director of PT Bumi Resources Tbk Adika Nuraga Bakrie. Photo: Courtesy of BUMI

President Director Adika Nuraga Bakrie said the acquisitions marked a strategic milestone in Bumi’s evolution into a diversified mining group. “With the completion of this transaction, Bumi Resources takes an important step in its diversification journey. Expanding into strategic and critical minerals aligns with global demand trends and reinforces our commitment to long-term sustainable growth,” he said.

The company’s financial statement for the period ending Sept. 30, 2025, confirmed its 41.36% stake in Jubilee Metals. Bumi acquired the shares through a mix of debt conversion and subscription agreements, with milestones scheduled between May 2025 and August 2026. Under the agreement, debt worth AUD 8.5 million, or US$ 5.39 million, was converted into an 18.74% equity stake in Jubilee, completing the first phase of ownership transfer.

Bumi’s acquisition of 99.68% of Wolfram Limited followed approval from Australia’s Foreign Investment Review Board (FIRB). The deal expands Bumi’s foothold in gold and copper production, adding short-term production potential and long-term revenue diversity.

Through Wolfram, Bumi gains access to valuable mining concessions with short-term output potential, expected to contribute positively to earnings and enhance shareholder value.