PEFINDO has affirmed its idBBB+ ratings with stable outlook to PT J Resources Asia Pasifik Tbk

(February 27, 2026)--PEFINDO has affirmed its idBBB+ ratings with stable outlook to PT J Resources Asia Pasifik Tbk (PSAB). PEFINDO views that the USD540 million divestment of the Doup asset through PT Arafura Surya Alam (ASA) to PT Danusa Tambang Nusantara (DTN) should provide significant additional liquidity for PSAB. However, we will conduct further assessment on the divestment impact to the Company’s overall financial profile after the availability of more comprehensive information, as the details of the utilization plan are still being finalized and will be provided in due course.

The corporate rating reflects an established production track record at the Bakan site, a moderate financial profile, and stable demand for gold. The rating is constrained by its moderate operating scale and exposure to fluctuations in gold prices.

The rating may be raised if PSAB is able to maintain stable operations and production levels from its remaining gold mining assets, thereby improving its financial profile on a sustained basis. We may also consider a rating upgrade if the Company effectively implements its deleveraging plan and utilizes the Doup divestment proceeds to fund capital expenditure, thereby reducing reliance on external financing and strengthening its financial profile. The rating may be under pressure if there is a material decline in production from the Company’s existing gold mining assets, or if further divestments of its remaining mining assets, Bakan and Penjom, take place, as these would weaken its revenue base and operating scale. Such developments would likely lead to a deterioration in the Company’s financial profile through lower cash flow generation, reduced operating efficiency, and weaker credit protection measures. Any significant decline in gold prices or materially higher-than-projected capital expenditure or investment activity without corresponding revenue growth may trigger a rating downgrade, as this may adversely affect its financial figures.

PSAB was established in 2002, and its operations cover the exploration, mining, and processing of gold. It has a geographically diverse portfolio of assets across Indonesia (Seruyung in North Kalimantan and Bakan in North Sulawesi) and Malaysia (Penjom). As of September 30, 2025, its shareholders consisted of Jimmy Budiarto (92.50%) and the public (7.50%). (ends)