Gresik. President Prabowo Subianto on Monday inaugurated a state-of-the-art precious metal refinery operated by mining giant Freeport Indonesia in Gresik, East Java. With an annual production capacity of up to 50 tons of fine gold, Prabowo declared the facility to be the largest of its kind in the world.

The refinery is Indonesia’s first fully integrated facility, capable of processing anode sludge from impure metals into refined gold bars. This advancement allows Freeport to manage the entire production chain -- from upstream mining to downstream refining -- within a single location.

"This is a remarkable achievement for our nation," Prabowo said during the inauguration ceremony. "We must no longer export raw materials; instead, we must produce high-value finished products that maximize economic benefits."

Prabowo added that the refinery will have a substantial impact on Indonesia’s economy, given the country’s abundant gold reserves.

"We must ensure that our natural resources are managed efficiently and transparently, without corruption," he added.

Constructed at a cost of approximately $630 million, the smelter began producing its first fine gold bars -- refined to 99.99 percent purity -- last month. The initial batch was delivered to state-owned gold supplier Aneka Tambang (Antam).

In a significant milestone, Freeport recently completed its first shipment of 125 kilograms of fine gold bars, valued at around $12.7 million. This achievement cements the company’s position as Indonesia’s first fully integrated mining firm.

Under a five-year sale and purchase agreement with Antam, Freeport has committed to delivering 30 tons of gold, valued at approximately $12.5 billion.