Cita Mineral profit halves on weaker alumina joint venture
PT Cita Mineral Investindo Tbk, an Indonesian bauxite miner operating through subsidiaries including PT Harita Prima Abadi Mineral in West Kalimantan's Ketapang region, reported a 62.1% drop in first-half 2026 net income despite higher revenue. Profit attributable to shareholders fell to IDR 625.8 billion (USD 34.8 million) from IDR 1.65 trillion (USD 91.7 million) a year earlier, with earnings per share declining to IDR 158 from IDR 417. The company attributed the divergence between revenue and profit to weaker earnings from its 12.5% stake in PT Well Harvest Winning Alumina Refinery (WHWAR), an alumina refining joint venture with China Hongqiao Group and Winning Investment (HK) that is recorded using the equity method.
Downstream aluminium investments reshape Cita Mineral's asset mix
The WHWAR stake was valued at IDR 1.64 trillion (USD 91.1 million) as of June 30, 2026, after Cita Mineral injected an additional IDR 99.1 billion (USD 5.5 million) in April to maintain its ownership. Cita Mineral also holds a 16.00% stake in PT Kalimantan Aluminium Industry (KAI), an aluminium smelter project valued at IDR 927.0 billion (USD 51.5 million), and a 16.00% interest in PT Kaltara Power Indonesia (KPI), expected to supply power for downstream processing. Together, WHWAR, KAI and KPI were valued at approximately IDR 3.28 trillion (USD 182.2 million), or nearly 40% of total assets. About 77% of first-half revenue came from related-party WHWAR, and dividends from WHWAR fell to IDR 419.5 billion (USD 23.3 million) from IDR 595.0 billion a year earlier, underscoring the company's growing dependence on downstream aluminium.
Proposed Northern Territory land council divides Arnhem Land elders
At the Garma Festival on August 1, Gumatj clan elder Djawa Yunupiŋu, chairman of the Yothu Yindi Foundation, announced plans to create the Dilak Land Council, a breakaway from the Northern Land Council that controls mining royalty distribution across the Top End. The announcement, made on the 50th anniversary of the federal Aboriginal Land Rights Act, would mark the first new land council formed in the Northern Territory in about 35 years. Wanyubi Marika, chairman of the Rirratjiŋu Aboriginal Corporation, expressed concern, while independent NT politician Yiŋiya Guyula also voiced reservations. Minister for Indigenous Australians Malarndirri McCarthy said she had not yet received a formal proposal to authorise the new council. Separately at Garma, Northern Territory Chief Minister Lia Finocchiaro announced an "in-principle" agreement with the Rirratjiŋu clan to hand back the Nhulunbuy town lease after the Rio Tinto bauxite mine closes in 2029.
Alcoa upgraded to buy amid mixed analyst sentiment and softer share price
Wall Street Zen upgraded Alcoa (NYSE:AA) from hold to buy in a research report published on August 2. The move follows a series of mixed analyst actions: Weiss Ratings upgraded its rating from "hold (c)" to "hold (c+)" on June 17; Morgan Stanley reaffirmed "equal weight" with a USD 53.00 price objective on July 8, down from USD 79.00; UBS Group cut its price target to USD 68.00 from USD 80.00 with a buy rating on June 30; JPMorgan Chase & Co. lowered its target to USD 52.00 from USD 55.00 with a neutral rating on July 17; and Argus cut its target to USD 55.00 from USD 73.00 with a buy rating on July 22. Six analysts rate the stock a Buy, four a Hold and two a Sell, with an average target price of USD 61.09. Alcoa shares opened at USD 45.31 on August 1, up 0.7%, giving a market capitalisation of USD 11.96 billion against a 12-month range of USD 28.11 to USD 84.38. The company describes its operations as spanning bauxite mining, alumina refining, primary aluminium smelting, and fabrication of value-added products.
Share this article
