Singapore-listed Jardine Cycle & Carriage ( JC&C ), through its indirect subsidiaries under PT United Tractors Tbk ( UT ), has proposed to acquire PT Arafura Surya Alam ( ASA ), initiating a step into Indonesia’s gold mining sector.

The deal, structured through UT’s subsidiaries PT Danusa Tambang Nusantara ( DTN ) and PT Energia Prima Nusantara ( EPN ), involves the purchase of nearly 100% equity interest in ASA from PT J Resources Nusantara and Jimmy Budiarto, for an enterprise value of US$540 million.

According to a JC&C statement, DTN, UT’s mineral business holding arm, will acquire 99.99996% of ASA, while EPN will acquire the remainder. Upon completion, ASA and its 99.8%-owned subsidiary, PT Mulia Bumi Persada ( MBP ), will become indirect subsidiaries of JC&C.

The acquisition, funded entirely through UT’s internal resources, supports the group’s ongoing diversification strategy beyond construction machinery and coal mining. UT plans to commence production at the Doup Block around 2028, depending on operational readiness.

The acquisition qualifies as a “discloseable transaction” under Singapore Exchange’s rules, with the deal’s value representing 6% of JC&C’s market capitalization.

Long-term value

ASA currently holds a mining business licence for the Doup Block in North Sulawesi, a brownfield site with 1.57 million ounces of proven and probable gold reserves and 3.1 million ounces in total resources.

Despite ASA currently being a non-operational company, JC&C highlights the long-term value of its mining licence and gold reserves.

This strategic move underscores JC&C and Astra’s broader ambitions to deepen their footprint in Indonesia’s mineral and energy sectors, according to the statement.

The transaction is subject to regulatory and shareholder approvals, with completion targeted by December 23 2025.

JC&C is focused on Southeast Asia, with major holdings in Indonesia and Vietnam. Its portfolio spans market leaders in automotive, mining, energy, and consumer goods, including Astra and Vinamilk, and is a member of the Jardine Matheson Group.