PT Bukit Asam Tbk : Supporting National Food Self-Sufficiency, PTBA and UGM Introduce Potassium Humate Products from Coal Downstreaming

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Yogyakarta, August 21, 2025 - PT Bukit Asam Tbk (PTBA) and Universitas Gadjah Mada (UGM) have officially launched a pilot plant of potassium humate production unit as a part of its ongoing research and development project, marking a significant innovation that supports the Indonesian government's national food self-sufficiency program. Potassium humate is a derivative product from the downstream processing of low-calorie coal, functioning as a soil conditioner and biofertilizer. PT Bakit Asam Tbk (PTBA) will use the BA Grow as the official brand for its commercial potassium humate products. Marketed under this brand, BA Grow will be available in both solid and liquid formulations to meet diverse agricultural needs. The launch event was attended by PTBA President Director Arsal Ismail, PTBA Director of Downstreaming and Product Diversification Turino Yulianto, President Director of Mining SOE Holding MIND ID Maroef Sjamsoeddin, UGM Rector Prof. Dr. Ova Emilia, Head of the Geological Agency of the Ministry of Energy and Mineral Resources (ESDM) Muhammad Wafid, Director of Coal Business Development at ESDM Surya Herjuna, Director of Fertilizers at the Ministry of Agriculture Jekvy Hendra, Head Researcher from UGM's Department of Chemical Engineering Prof. Dr. Ferian, and several other stakeholders. PTBA President Director Arsal Ismail explained that this project demonstrates the company's commitment to adding value to coal. Coal is no longer just a source of energy-it can now be transformed into products that provide direct benefits to the public, especially farmers. "This initiative proves that coal can be processed into environmentally friendly, value-added products that deliver real benefits, particularly for farmers," Arsal stated. This product aligns with the Indonesian President's Asta Cita agenda, which focuses on food self-sufficiency, industrial downstreaming, and public welfare. Through this pilot project, PTBA is determined to make a meaningful contribution to national development goals. The inauguration commenced at the Smart Green Learning Center (SGLC) auditorium of Universitas Gadjah Mada, followed by a visit to the demonstration plot in Bimomartani Village to review the trial application of potassium humate and hear farmer testimonials. The program concluded with a visit to the pilot production unit to observe the operational process of the potassium humate facility. Improving Soil Fertility and Agricultural Productivity As a soil conditioner and biofertilizer, potassium humate can enhance soil fertility and boost agricultural and plantation productivity. Its use can also reduce farmers' dependence on chemical fertilizers. Based on initial trials, potassium humate has the potential to increase crop yields by up to 30%, sustaion long-term soil health, and reduce fertilizer use. This product is the result of a collaborative research and development effort by PTBA and UGM, aimed at enhancing the value of coal in line with the government's downstreaming mandate. Appreciation from Various Stakeholders The launch of the potassium humate production unit has been welcomed by multiple parties. MIND ID President Director Maroef Sjamsoeddin emphasized that mining commodities are not only for energy and transportation but also play a role in food security through downstream technologies. Echoing this, Jekvy Hendra, Director of Fertilizers at the Ministry of Agriculture, highlighted potassium humate as a solution to support the national food self-sufficiency program. "We are open and ready to work together to meet the fertilizer needs and achieve food self-sufficiency as soon as possible," he said. UGM Rector Ova Emilia praised Bukit Asam for its bold decision to involve the university in the development and research of the potassium humate production system. "The nature of research is uncertain in terms of time and results, and we appreciate this courageous move. I believe the outcomes will benefit all parties. We strongly support and encourage more corporations to follow Bukit Asam's lead," she remarked. Appreciation also came from Surya Herjuna, Director of Coal Business Development at the Ministry of Energy and Mineral Resources, who expressed hope that PTBA would continue to innovate beyond potassium humate. Head of the Geological Agency Muhammad Wafid also applauded the efforts made by Bukit Asam and UGM in promoting national self-reliance through food self independence. "Hopefully, the launch of this potassium humate production pilot project marks a strong start for the development of Indonesia's coal-based potassium humate industry," Wafid said. A Milestone in Collaboration for Economic Independence This project launch serves as tangible proof of collaboration between the business sector and academic institutions in realizing economic independence. It is in line with the theme of Indonesia's 80th Independence Day, "United, Sovereign, Prosperous People, Advanced Indonesia," which underscores that economic independence is the foundation for people's welfare and national progress.

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