Tanah Bumbu, South Kalimantan – December 2024 – On a 2,500-square-meter plot of land near the operational area of PT Borneo Indobara (BIB), a subsidiary of PT Golden Energy Mines Tbk (GEMS) as a coal mining company in South Kalimantan, stands a modest 25-by-8 meter building. Yet from this very spot, a major initiative has emerged, driving the wheels of the local economy: the Integrated Feed Mill, since 2023 has become a milestone in post-harvest transformation and local food security.

This facility not only produces poultry and fish feed–at a maximum capacity of 50,000 kg per month–but also serves as a hub that integrates local agricultural yields with the livestock business needs of communities surrounding the mine.

Managed by a community group under the supervision of a Village-Owned Enterprise (BUMDes), the feed mill directly benefits 12 households. It not only sources locally cultivated corn and trash fish as its primary raw materials but also plays a strategic role in supporting BIB’s fostered business centers within the first-ring villages of its operational area.

Beyond that, this initiative reduces the community’s dependence on external feed supply sources, which often come with high and fluctuating prices. Through measurable production efficiency, the feed mill’s Cost of Goods Manufactured (COGM) is significantly lower, allowing sales at below-market prices without compromising quality.

To date, a total of 285,984 kg of feed has been produced since 2023, generating around IDR 563 million in revenue. The operational success of the facility has also attracted the attention of financing institutions, with funding support from LPDB KUMKM providing crucial capital for future production scale-up.

From a social impact perspective, the program has achieved a Social Return on Investment (SROI) score of 3.9–strong evidence that it has made a significant contribution to improving community welfare.

BIB is not stopping there. In 2025, it has a strategic expansion plan to build an additional feed mill and a fishmeal factory. This move is expected to meet the entire poultry and fish feed demand of its 22 fostered villages, while further strengthening a collaborative and self-reliant local agribusiness ecosystem.

This feed mill is more than just a production facility–it is a symbol of sustainability, self-reliance, and hope. In the heart of the extractive industry, BIB has proven that mining operations and community development can go hand in hand, delivering tangible benefits to the surrounding environment.