Sunday, 19 Feb 2012
The Indonesian ministry’s mineral and coal director general Mr Thamrin Sihite said that The Energy and Mineral Resources Ministry and 15 mining firms are finalizing renegotiations over mining contracts as part of the companies’ adjustments to the new mining law.
Mr Thamrin said that the ministry and the 15 companies, comprising of 11 coal and four mineral miners, have finished working on the details of renegotiated clauses and were waiting to sign the new contracts.
Mr Thamrin said that “We’re completing the administration process to finalize the renegotiations with the 15 companies. But we have to report to the coordinating economic minister and the President first.”
However, Mr Thamrin would not reveal the names of the 15 companies. He said that “We’ll announce the renegotiation progress within two weeks.”
Currently, the ministry has 42 companies registered as having mineral mining contracts with the government (locally known as Kontrak Karya) and 76 companies have coal contracts of work.
In addition to the 15 companies, 65% of the 118 contract holders have also principally agreed to renegotiate. However, the details of such agreements are difficult to finalize.
Contract renegotiations have long been a major problem in the mineral and coal mining sector.
The 2009 law on minerals and coal mandates that all contracts signed before its implementation have to be adjusted to meet the terms of the law.
Throughout the renegotiation process, the government and miners have been discussing six main issues: the size of mining areas, contract extensions, the amount of royalties to be give, obligations to process raw materials in Indonesia, divestment and the utilization of local goods and services.
A mining expert from the ReforMiner Institute, Pri Agung Rakhmanto, warned that the progress of the renegotiations should not be judged solely on the amount of companies that have agreed to sign new contracts. He told The Jakarta Post said that “We should also take into account the scale of the companies and the commodities they produce. If only small companies agree to renegotiate, the result won’t be too significant.”
The renegotiated elements should also be monitored because if the amount of royalties remained untouched, there would be no additional revenue for the government.
He added that “In renegotiating with mining companies, the government has to be more firm and have a concrete strategy. A direct approach with the companies will also result in better outcomes.”
The government has set up a team to handle the renegotiations, led by Coordinating Economic Minister Hatta Rajasa. The working period of the team will end in 2013.
Meanwhile, Energy and Mineral Resources Minister Jero Wacik claimed on Thursday that PT Freeport Indonesia, operator of the Grasberg gold and copper mine in Timika, Papua, had agreed to renegotiate a contract.
Earlier, PT Newmont Nusa Tenggara, operator of the Batu Hijau gold and copper mine in West Nusa Tenggara, also claimed that it had no problem with the renegotiation plan.
(sourced Thejakartapost.com)
Showing posts with label Indonesian coal miners. Show all posts
Showing posts with label Indonesian coal miners. Show all posts
Sunday, February 19, 2012
Tuesday, February 14, 2012
PT Resource Alam takes over four coal miners in East Kalimantan
Tuesday, 14 Feb 2012
Coal miner PT Resource Alam Indonesia said that it has spent USD 7.9 million to acquire controlling stakes in four coal mining companies in East Kalimantan.
The company in a statement said that Resource Alam purchased a 75% stake in each of the firms: PT Kaltim Mineral, PT Jaya Mineral, PTTambang Mulia and PT Chaido Mega Mineral.
The statement said that “Future development of the newly acquired concessions, in addition to the company’s organic growth, is in alignment with Resource Alam’s long term objective to become one of Indonesia’s major coal producers.”
Resource Alam previously commissioned mining consultant PT Britindo to conduct geological studies of the coal mining concessions, which span 28,521 hectares, and their prospective open-cut potential.
Indonesia, the world’s largest coal exporter, is expected to produce 340 million tons this year, including 6 million tons expected to be produced by Resource Alam.
Mr Eric Tirtana Resource Alam’s investor relations chief told The Jakarta Post that “The newly acquired fields are still green fields, they’re not yet producing. The potentials are still being analyzed. We’re still counting on organic growth for the year.”
Chaido is the closest to starting operations next year, on 5,000 hectares near Resource Alam’s northern block. Resource Alam spent USD 1.67 million to acquire the company’s 75% stake.
Meanwhile, Kaltim Mineral, Jaya Mineral and Tambang Mulia will start production in 2015 on a combined adjoining area of 23,521 hectares. A 75% stake in each of the three firms was valued at USD 6.25 million.
(sourced Thejakartapost.com)
Coal miner PT Resource Alam Indonesia said that it has spent USD 7.9 million to acquire controlling stakes in four coal mining companies in East Kalimantan.
The company in a statement said that Resource Alam purchased a 75% stake in each of the firms: PT Kaltim Mineral, PT Jaya Mineral, PTTambang Mulia and PT Chaido Mega Mineral.
The statement said that “Future development of the newly acquired concessions, in addition to the company’s organic growth, is in alignment with Resource Alam’s long term objective to become one of Indonesia’s major coal producers.”
Resource Alam previously commissioned mining consultant PT Britindo to conduct geological studies of the coal mining concessions, which span 28,521 hectares, and their prospective open-cut potential.
Indonesia, the world’s largest coal exporter, is expected to produce 340 million tons this year, including 6 million tons expected to be produced by Resource Alam.
Mr Eric Tirtana Resource Alam’s investor relations chief told The Jakarta Post that “The newly acquired fields are still green fields, they’re not yet producing. The potentials are still being analyzed. We’re still counting on organic growth for the year.”
Chaido is the closest to starting operations next year, on 5,000 hectares near Resource Alam’s northern block. Resource Alam spent USD 1.67 million to acquire the company’s 75% stake.
Meanwhile, Kaltim Mineral, Jaya Mineral and Tambang Mulia will start production in 2015 on a combined adjoining area of 23,521 hectares. A 75% stake in each of the three firms was valued at USD 6.25 million.
(sourced Thejakartapost.com)
Monday, February 6, 2012
PT Berau Coal to issue USD 500 million bonds
Monday, 06 Feb 2012
Indonesian coal miner PT Berau Coal Energy Tbk is planning to issue USD 500 million of bonds, at a interest rate of 9% to refinance its debt and fund capital expenditure.
Indonesian companies are readying themselves to jump into the dollar bond market to take advantage of the foreign money they expect to flood the country after Moody's was the second ratings agency to upgrade the country to an investment grade status last month.
Berau Coal will hold an extraordinary general meeting on March 6 for shareholder approval for the notes, which will have a maximum fixed interest rate of 9% and a semi annual coupon.
Berau Coal, controlled by Indonesia-based private equity firm Recapital Advisors, has not yet appointed a financial advisor on the deal.
(Sourced from Thomson Reuters)
Indonesian coal miner PT Berau Coal Energy Tbk is planning to issue USD 500 million of bonds, at a interest rate of 9% to refinance its debt and fund capital expenditure.
Indonesian companies are readying themselves to jump into the dollar bond market to take advantage of the foreign money they expect to flood the country after Moody's was the second ratings agency to upgrade the country to an investment grade status last month.
Berau Coal will hold an extraordinary general meeting on March 6 for shareholder approval for the notes, which will have a maximum fixed interest rate of 9% and a semi annual coupon.
Berau Coal, controlled by Indonesia-based private equity firm Recapital Advisors, has not yet appointed a financial advisor on the deal.
(Sourced from Thomson Reuters)
Saturday, January 28, 2012
Australia and Indonesia eyeing Bangladesh
Saturday, 28 Jan 2012
Australian and Indonesia coal miners are eyeing Bangladesh as a potential new market after the authorities concerned have opted to import coal, instead of exploring its domestic reserves.
Traders and experts said that meanwhile, the Bangladesh's option has also opened up scope for India to export its low quality coal to the former.
Bangladesh has been importing some 2.0 million tonnes from that country annually. Prof Mohammad Tamim, a former special assistant on energy affairs to the past caretaker government told the FE that "For power generation, we will prefer coal from Australia or Indonesia as the Indian coal is not energetic enough to serve the purpose.”
He said though the coal of South Africa is of high quality, it would be much expensive for Bangladesh.
However, a section of traders said India coal could be very much used in power plants after being blended with coal from Australia or Indonesia.
A leader of Federation of Bangladesh Chambers of Commerce and Industry told the FE that "If Indian coal starts coming in a very large quantity, the already persistent large trade gap against Bangladesh will widen further enlarging, in favour of the South Asian major economy.”
However, the trade gap was expected to narrow down as India announced duty and quota free access for Bangladeshi items including 46 garment products late last year.
The ministry of commerce officials said that with the increase in exports of garment and some other items to India following its announcement about shortening its sensitive list to 25 from 480, the trade gap is expected to narrow at a quicker pace.
Currently, India exports goods worth USD 5.0 billion to Bangladesh against its import worth only USD 500 million from the latter a year, as the trade data until June last indicated.
(sourced TheFinancialExpress-bd.com)
Australian and Indonesia coal miners are eyeing Bangladesh as a potential new market after the authorities concerned have opted to import coal, instead of exploring its domestic reserves.
Traders and experts said that meanwhile, the Bangladesh's option has also opened up scope for India to export its low quality coal to the former.
Bangladesh has been importing some 2.0 million tonnes from that country annually. Prof Mohammad Tamim, a former special assistant on energy affairs to the past caretaker government told the FE that "For power generation, we will prefer coal from Australia or Indonesia as the Indian coal is not energetic enough to serve the purpose.”
He said though the coal of South Africa is of high quality, it would be much expensive for Bangladesh.
However, a section of traders said India coal could be very much used in power plants after being blended with coal from Australia or Indonesia.
A leader of Federation of Bangladesh Chambers of Commerce and Industry told the FE that "If Indian coal starts coming in a very large quantity, the already persistent large trade gap against Bangladesh will widen further enlarging, in favour of the South Asian major economy.”
However, the trade gap was expected to narrow down as India announced duty and quota free access for Bangladeshi items including 46 garment products late last year.
The ministry of commerce officials said that with the increase in exports of garment and some other items to India following its announcement about shortening its sensitive list to 25 from 480, the trade gap is expected to narrow at a quicker pace.
Currently, India exports goods worth USD 5.0 billion to Bangladesh against its import worth only USD 500 million from the latter a year, as the trade data until June last indicated.
(sourced TheFinancialExpress-bd.com)
Thursday, January 26, 2012
Clean Coal and Jindal Steel to Set Up JV
Thursday, 26 January, 2012
NEW YORK, Indonesia Today - Clean Coal Technologies, Inc. (CCTI) established a joint venture with India-based Jindal Steel & Power Ltd to construct coal moisture pilot plant which will use Jindal’s Indonesian coal production.
CCTI will bag around 35% stake in the JV by contributing 25-year exclusive license to market and deploy Pristine-M™ Technology, covering the ASEAN countries including Indonesia, the Philippines, Cambodia, Vietnam, Malaysia, Brunei, Thailand, Laos and Myanmar.
Meanwhile, Jindal will own 65% ownership through US$6 million payment of which US$4 million of them will be paid to CCTI for an exclusive license of the technologies.
Without mentioning the plant location, the construction will take between 16-24 weeks to complete and will start by February 2012. The construction will be followed by an initial 1 million tons commercial plant at Jindal’s Indonesian mines. The JV will market and deploy Pristine-M™ Technology to third parties throughout ASEAN region.
Jindal will fund the working capital for the JV on terms to be negotiated in JV agreement until CCTI is able to fund their share or until joint venture revenues are adequate to cover operating costs.
Headquartered in New York, CCTI owns a patented Pristine-M™ process technology to convert coal into a cleaner burning fuel source. This technology is a “mild gasification” process that removes moisture and volatile matters without pulverizing the coal or pelletizing it.
(sourced:Theindonesiatoday.com)
NEW YORK, Indonesia Today - Clean Coal Technologies, Inc. (CCTI) established a joint venture with India-based Jindal Steel & Power Ltd to construct coal moisture pilot plant which will use Jindal’s Indonesian coal production.
CCTI will bag around 35% stake in the JV by contributing 25-year exclusive license to market and deploy Pristine-M™ Technology, covering the ASEAN countries including Indonesia, the Philippines, Cambodia, Vietnam, Malaysia, Brunei, Thailand, Laos and Myanmar.
Meanwhile, Jindal will own 65% ownership through US$6 million payment of which US$4 million of them will be paid to CCTI for an exclusive license of the technologies.
Without mentioning the plant location, the construction will take between 16-24 weeks to complete and will start by February 2012. The construction will be followed by an initial 1 million tons commercial plant at Jindal’s Indonesian mines. The JV will market and deploy Pristine-M™ Technology to third parties throughout ASEAN region.
Jindal will fund the working capital for the JV on terms to be negotiated in JV agreement until CCTI is able to fund their share or until joint venture revenues are adequate to cover operating costs.
Headquartered in New York, CCTI owns a patented Pristine-M™ process technology to convert coal into a cleaner burning fuel source. This technology is a “mild gasification” process that removes moisture and volatile matters without pulverizing the coal or pelletizing it.
(sourced:Theindonesiatoday.com)
Wednesday, January 25, 2012
Commissioner increases ownership in Adaro
Wed, Jan25, 2011
A commissioner at PT Adaro Energy Tbk (ADRO), Indonesia’s second-largest coal producer, has purchased 300,000 shares of the company at Rp 1,830 per share to increase his ownership of the growing company.
Malaysian national Lim Soon Huat, who has been a commissioner at Adaro since October 2008, made the deal on Friday, Jan. 20, when the firm’s stock price closed at Rp 1,820 a share, according to a file submitted to the Indonesia Stock Exchange (IDX).
The stock purchase was done for investment, the file said, without disclosing the total shares Soon Huat owned. Soon Huat has over 15 years experience in the financial industry and corporate management in Singapore, Thailand, Malaysia, Hong Kong, China and Indonesia.
Major international ratings agency Fitch Ratings recently said it might upgrade Adaro’s credit rating to investment grade from the current BB+ with stable outlook, on the company’s strong financial fundamentals amid rising demand for coal.
Adaro’s shares traded at Rp 1,840 at 10:23 a.m. on Wednesday, gaining 0.55 percent from the previous day’s close when the broader stock index was in the red.
sourced: The Jakarta Post
A commissioner at PT Adaro Energy Tbk (ADRO), Indonesia’s second-largest coal producer, has purchased 300,000 shares of the company at Rp 1,830 per share to increase his ownership of the growing company.
Malaysian national Lim Soon Huat, who has been a commissioner at Adaro since October 2008, made the deal on Friday, Jan. 20, when the firm’s stock price closed at Rp 1,820 a share, according to a file submitted to the Indonesia Stock Exchange (IDX).
The stock purchase was done for investment, the file said, without disclosing the total shares Soon Huat owned. Soon Huat has over 15 years experience in the financial industry and corporate management in Singapore, Thailand, Malaysia, Hong Kong, China and Indonesia.
Major international ratings agency Fitch Ratings recently said it might upgrade Adaro’s credit rating to investment grade from the current BB+ with stable outlook, on the company’s strong financial fundamentals amid rising demand for coal.
Adaro’s shares traded at Rp 1,840 at 10:23 a.m. on Wednesday, gaining 0.55 percent from the previous day’s close when the broader stock index was in the red.
sourced: The Jakarta Post
Monday, January 23, 2012
PT Bumi to explore iron ore in West Africa
Monday, 23 Jan 2012
It is reported that PT Bumi Resources Minerals Tbk, a non-coal mining unit of coal giant PT Bumi Resources Tbk is set to start iron ore production in Mauritania after securing exploitations permit from the West African government.
Mr Kenneth Farrell CEO of Bumi Minerals said the concession is expected see exploitation activities start between March and May this year, with an output of 600,000 tons of iron ore per year.
He said that Bumi Minerals is to boost output to 1 million tons of ore by 2014 in 990 square kilometers area of iron ore. He added that “We were happy to obtain the necessary exploitation permit early this month, adding that the permit was obtained earlier on January 13.”
Bumi Minerals file submitted to the Indonesia Stock Exchange said “In this case, the government of Mauritania has exercised its right. Therefore, its ownership in Tamagot Bumi is 20%.”
Based on the regulation in Mauritania, all concessions that have received exploitation permits are required to divest a 10 percent stake of the respective concession at no cost to the local government prior to commercial productions.
The same regulation also gives the Mauritanian government the right to buy another 10% stake in these concessions for prices agreed by the buyers and sellers.
(Sourced Thejakartapost.com)
It is reported that PT Bumi Resources Minerals Tbk, a non-coal mining unit of coal giant PT Bumi Resources Tbk is set to start iron ore production in Mauritania after securing exploitations permit from the West African government.
Mr Kenneth Farrell CEO of Bumi Minerals said the concession is expected see exploitation activities start between March and May this year, with an output of 600,000 tons of iron ore per year.
He said that Bumi Minerals is to boost output to 1 million tons of ore by 2014 in 990 square kilometers area of iron ore. He added that “We were happy to obtain the necessary exploitation permit early this month, adding that the permit was obtained earlier on January 13.”
Bumi Minerals file submitted to the Indonesia Stock Exchange said “In this case, the government of Mauritania has exercised its right. Therefore, its ownership in Tamagot Bumi is 20%.”
Based on the regulation in Mauritania, all concessions that have received exploitation permits are required to divest a 10 percent stake of the respective concession at no cost to the local government prior to commercial productions.
The same regulation also gives the Mauritanian government the right to buy another 10% stake in these concessions for prices agreed by the buyers and sellers.
(Sourced Thejakartapost.com)
Friday, January 20, 2012
BHP starts building infrastructure at Indonesia coal venture
Friday, 20 Jan 2012
Bloomberg reported that BHP Billiton Ltd the world largest mining company started developing infrastructure at its 75% owned coal project in Borneo after receiving regulatory approvals.
Ms Kelly Quirke a spokeswoman for the Melbourne-based company said the work at the IndoMet Coal project includes road construction and associated infrastructure for future mine development.
She said “Regulatory permits and approvals that we need for the initial road works are now in place. Those early works have now begun.”
According to a BHP presentation in September the project in Kalimantan on Indonesia part of Borneo island could start production in the year ending June 2016.
The basin has the potential to support large-scale metallurgical and thermal-coal output and the first development at Lahai will provide the initial operating platform and development of transport infrastructure.
(Sourced from Bloomberg)
Bloomberg reported that BHP Billiton Ltd the world largest mining company started developing infrastructure at its 75% owned coal project in Borneo after receiving regulatory approvals.
Ms Kelly Quirke a spokeswoman for the Melbourne-based company said the work at the IndoMet Coal project includes road construction and associated infrastructure for future mine development.
She said “Regulatory permits and approvals that we need for the initial road works are now in place. Those early works have now begun.”
According to a BHP presentation in September the project in Kalimantan on Indonesia part of Borneo island could start production in the year ending June 2016.
The basin has the potential to support large-scale metallurgical and thermal-coal output and the first development at Lahai will provide the initial operating platform and development of transport infrastructure.
(Sourced from Bloomberg)
Monday, January 9, 2012
Mr Rothschild stokes coal struggle in Indonesia
Monday, 09 Jan 2012
It is reported that Mr Nat Rothschild has gained the upper hand in his power struggle with the Indonesian Bakrie family after side lining their top adviser at Bumi Resources the GBP 1.5 billion valued coal mining concern that they co own.
Credit Suisse which is particularly close to the Bakries has effectively been replaced as one of Bumi brokers by Bank of America Merrill Lynch. Although Credit Suisse remains a broker for now, it is expected to exit Bumi within two to three months.
The scion of the Rothschild banking dynasty formed Bumi when the Bakrie family Indonesian coal assets were reversed into his much trumpeted cash shell, Vallar last summer.
Mr Rothschild is cochairman with Indra Bakrie. However by November, Mr Rothschild had fired off a letter to Bumi CEO Mr Ari Hudaya complaining about standards of corporate governance at PT Bumi. Mr Rothschild accused PT of needing a radical cleaning up.
The Bakries countered by describing his comments as immature, hasty, irrational and poorly judged.
The loan and the problems it caused made Credit Suisse seem closer to the Bakries than to Mr Rothschild and it, inadvertently, became part of the row. JP Morgan, the company other broker, has largely stayed out of the conflict and has retained its position.
A source close to the situation said "This whole row has put Credit Suisse in an awkward spot and it's been close to the Bakries for a long time. This is a very logical move."
(sourced Independent.co.uk)
It is reported that Mr Nat Rothschild has gained the upper hand in his power struggle with the Indonesian Bakrie family after side lining their top adviser at Bumi Resources the GBP 1.5 billion valued coal mining concern that they co own.
Credit Suisse which is particularly close to the Bakries has effectively been replaced as one of Bumi brokers by Bank of America Merrill Lynch. Although Credit Suisse remains a broker for now, it is expected to exit Bumi within two to three months.
The scion of the Rothschild banking dynasty formed Bumi when the Bakrie family Indonesian coal assets were reversed into his much trumpeted cash shell, Vallar last summer.
Mr Rothschild is cochairman with Indra Bakrie. However by November, Mr Rothschild had fired off a letter to Bumi CEO Mr Ari Hudaya complaining about standards of corporate governance at PT Bumi. Mr Rothschild accused PT of needing a radical cleaning up.
The Bakries countered by describing his comments as immature, hasty, irrational and poorly judged.
The loan and the problems it caused made Credit Suisse seem closer to the Bakries than to Mr Rothschild and it, inadvertently, became part of the row. JP Morgan, the company other broker, has largely stayed out of the conflict and has retained its position.
A source close to the situation said "This whole row has put Credit Suisse in an awkward spot and it's been close to the Bakries for a long time. This is a very logical move."
(sourced Independent.co.uk)
Friday, December 16, 2011
PT Berau Coal output may up by 15pct next year
Fri, Dec16, 2011
PT Berau Coal Energy expects coal production next year to rise to 23 million tonnes from an estimated 20 million tonnes this year.
Mr Rosan Perkasa Roeslani president director said that the Indonesian company’s 2012 average coal selling price may be slightly below this year average of USD 81 per tonne.
Mr Roeslani said that so far there’s no talks about a possible merger between Berau and PT Bumi Resources.
sourced:Bloomberg
PT Berau Coal Energy expects coal production next year to rise to 23 million tonnes from an estimated 20 million tonnes this year.
Mr Rosan Perkasa Roeslani president director said that the Indonesian company’s 2012 average coal selling price may be slightly below this year average of USD 81 per tonne.
Mr Roeslani said that so far there’s no talks about a possible merger between Berau and PT Bumi Resources.
sourced:Bloomberg
Monday, December 12, 2011
Indonesia Stock Movers: Bank Negara, Summarecon Agung, Renuka
Monday, Dec 12, 2011
Shares of the following companies had unusual (JCI) moves in Indonesian trading. Stock symbols are in parentheses, and share prices are as of the close in Jakarta.
The Jakarta Composite Index rose 0.9 percent to 3,792.15.
Coal producers: PT Bumi Resources (BUMI) , Asia’s largest exporter of power-station coal, gained 1.1 percent to 2,225 rupiah. PT Adaro Energy (ADRO) , the second-largest producer, rose 5 percent to 1,930 rupiah. PT Tambang Batubara Bukit Asam (PTBA) , a state-owned coal producer, gained 1.8 percent to 17,200 rupiah.
Power-station coal prices at Australia’s Newcastle port, an Asian benchmark, rose 0.2 percent in the week ended Dec. 9, according to the globalCOAL NEWC Index.
PT Bank Negara Indonesia (BBNI) , the third-biggest state-owned bank by market value, rose 1.3 percent to 3,975 rupiah. Bank Indonesia Governor Darmin Nasution told the nation’s commercial lenders to lower borrowing costs as Southeast Asia’s biggest economy looks to domestic consumption to drive growth amid a global slowdown.
PT Renuka Coalindo (SQMI) , an Indonesian coal producer jumped 23.7 percent to 365 rupiah, the highest close since Nov. 30, 2004. Renuka expects to boost annual coal output at its wholly-owned unit, PT Jambi Prima Coal, to at least 1 million metric tons next year, Renuka President Director Ganesh Mane said by telephone in Jakarta on Dec. 9. Jambi Prima, which has begun operating a mine in Jambi province in Sumatra, is producing 50,000 tons to 60,000 tons of coal a month, Mane said.
PT Summarecon Agung (SMRA) , a property developer, gained 4.5 percent to 1,170 rupiah, set for the highest close since Nov. 4. Summarecon may spend 1.3 trillion rupiah ($143 million) in 2012 to fund projects such as a shopping mall, a convention center and a sports club, Investor Daily Indonesia reported, citing President Director Johanes Mardjuki. Mardjuki couldn’t be reached when called at his office.
(sourced Bloomberg)
Shares of the following companies had unusual (JCI) moves in Indonesian trading. Stock symbols are in parentheses, and share prices are as of the close in Jakarta.
The Jakarta Composite Index rose 0.9 percent to 3,792.15.
Coal producers: PT Bumi Resources (BUMI) , Asia’s largest exporter of power-station coal, gained 1.1 percent to 2,225 rupiah. PT Adaro Energy (ADRO) , the second-largest producer, rose 5 percent to 1,930 rupiah. PT Tambang Batubara Bukit Asam (PTBA) , a state-owned coal producer, gained 1.8 percent to 17,200 rupiah.
Power-station coal prices at Australia’s Newcastle port, an Asian benchmark, rose 0.2 percent in the week ended Dec. 9, according to the globalCOAL NEWC Index.
PT Bank Negara Indonesia (BBNI) , the third-biggest state-owned bank by market value, rose 1.3 percent to 3,975 rupiah. Bank Indonesia Governor Darmin Nasution told the nation’s commercial lenders to lower borrowing costs as Southeast Asia’s biggest economy looks to domestic consumption to drive growth amid a global slowdown.
PT Renuka Coalindo (SQMI) , an Indonesian coal producer jumped 23.7 percent to 365 rupiah, the highest close since Nov. 30, 2004. Renuka expects to boost annual coal output at its wholly-owned unit, PT Jambi Prima Coal, to at least 1 million metric tons next year, Renuka President Director Ganesh Mane said by telephone in Jakarta on Dec. 9. Jambi Prima, which has begun operating a mine in Jambi province in Sumatra, is producing 50,000 tons to 60,000 tons of coal a month, Mane said.
PT Summarecon Agung (SMRA) , a property developer, gained 4.5 percent to 1,170 rupiah, set for the highest close since Nov. 4. Summarecon may spend 1.3 trillion rupiah ($143 million) in 2012 to fund projects such as a shopping mall, a convention center and a sports club, Investor Daily Indonesia reported, citing President Director Johanes Mardjuki. Mardjuki couldn’t be reached when called at his office.
(sourced Bloomberg)
Monday, December 5, 2011
East Kalimantan province coal miners shares drop on bridge collapse
Monday, 05 Dec 2011
The Jakarta Globe reported that shares of Harum Energy and other Indonesian coal miners that operate in East Kalimantan province fell on concern that the collapse of the Kutai Kartanegara bridge into the Mahakam River would affect their profitability.
Mr Herman Koeswanto, an analyst at Mandiri Sekuritas, in a report sent to clients, said that "The Mahakam River is the largest river in East Kalimantan and has one of the most crowded coal barging traffic activities. This will affect almost all listed coal companies that are located in East Kalimantan."
He said that the most affected listed coal companies would be Harum Energy, Indo Tambangraya Megah, Sakari Resources and Bayan Resources. These companies, which do a lot of business in resource-rich East Kalimantan, use the Mahakam River to transport coal for distribution at a port from their facilities.
Mr Alexandara Mira spokesperson of Harum Energy said that "The closure will prevent us from transporting coal from our Separi port to our transshipment points in Muara Jawa and Muara Berau."
Ms Dileep Srivastava, Bumi Resources' investor relations director, said that "Our coal shipment for the month of November 2011 should largely be unaffected since almost all of the coal due to be loaded for the month has been barged past the affected section of Mahakam River. We have notified our customers of potential delays of future shipments resulting from the river closure. We expect to maintain normalcy of coal shipments from our dedicated ports to our valued clients."
Analysts in Jakarta, however, were not so sure that the disaster would have such a light impact on the companies.
Mandiri Sekuritas' Herman said that "This accident should affect the coal loading and deliveries activities that may incur demurrage cost for coal producers."
Ms Erindra Krisnawan, an analyst with CIMB Niaga, said that "As long as the evacuation schedule is not clear, we expect their stock to be pressured."
(sourced TheJakartaglobe)
The Jakarta Globe reported that shares of Harum Energy and other Indonesian coal miners that operate in East Kalimantan province fell on concern that the collapse of the Kutai Kartanegara bridge into the Mahakam River would affect their profitability.
Mr Herman Koeswanto, an analyst at Mandiri Sekuritas, in a report sent to clients, said that "The Mahakam River is the largest river in East Kalimantan and has one of the most crowded coal barging traffic activities. This will affect almost all listed coal companies that are located in East Kalimantan."
He said that the most affected listed coal companies would be Harum Energy, Indo Tambangraya Megah, Sakari Resources and Bayan Resources. These companies, which do a lot of business in resource-rich East Kalimantan, use the Mahakam River to transport coal for distribution at a port from their facilities.
Mr Alexandara Mira spokesperson of Harum Energy said that "The closure will prevent us from transporting coal from our Separi port to our transshipment points in Muara Jawa and Muara Berau."
Ms Dileep Srivastava, Bumi Resources' investor relations director, said that "Our coal shipment for the month of November 2011 should largely be unaffected since almost all of the coal due to be loaded for the month has been barged past the affected section of Mahakam River. We have notified our customers of potential delays of future shipments resulting from the river closure. We expect to maintain normalcy of coal shipments from our dedicated ports to our valued clients."
Analysts in Jakarta, however, were not so sure that the disaster would have such a light impact on the companies.
Mandiri Sekuritas' Herman said that "This accident should affect the coal loading and deliveries activities that may incur demurrage cost for coal producers."
Ms Erindra Krisnawan, an analyst with CIMB Niaga, said that "As long as the evacuation schedule is not clear, we expect their stock to be pressured."
(sourced TheJakartaglobe)
Tuesday, November 29, 2011
Harum, Bayan see coal delays after bridge collapse
Tue Nov 29, 2011
JAKARTA Nov 29 (Reuters) - Indonesian miners Harum Energy and Bayan Resources said on Tuesday that they expected delays to their coal deliveries from Borneo island after a bridge collapsed at the weekend, blocking a river used for barge shipments.
"For now ships are not allowed to go across the collapsed bridge area," said Harum Energy spokeswoman Alexandra Mira, adding that the company had notified buyers about the possibility of rescheduled shipments.
She did not give any estimate regarding the volume or length of the likely delay.
Harum's share price fell 5.5 percent on Monday on concerns it would be affected. It rose 0.7 percent on Tuesday.
The delays from the world's top exporter of thermal coal are not seen lifting regional coal prices, given an oversupplied market and concerns about weak demand.
Bayan's coal barging of 20-25,000 tonnes per day along the river from its mine to a port was affected, said Jenny Quantero, a director at Bayan.
An eyewitness said barges were unable to cross the area on Tuesday because of rescue team efforts after the 700-metre suspension bridge on the Mahakam river in Kalimantan collapsed on Saturday, killing at least 18 people.
Indonesia's major coal firms Bumi Resources and Adaro Energy said their shipments were not affected because they did not use the river, though Bumi warned it could be a problem for the industry if the delays continued.
"This may significantly impact transportation of coal at many coal producing mines in the area," Bumi said in a statement.
Brokerage CIMB said that the disruption would only be clear after a safety review in a week's time.
The Mahakam river accounted for around 15 percent of Indonesia's production, so a three-week stoppage could cut three million tonnes, it said.
It said the river each week carried all of Harum's volume of 200,000 tonnes, 158,000 tonnes from Indo Tambangraya Megah and 180,000 tonnes from Singapore-listed Sakari Resources.
CLSA put the potential volume at 20 percent of Indonesia's output, though said firms usually carried three to four-week stockpiles at mines and ports.
"Any outage beyond four weeks could affect Indonesia's coal production by up to 5.7 million tonnes per month," CLSA said in a report.
(sourced Reuters)
JAKARTA Nov 29 (Reuters) - Indonesian miners Harum Energy and Bayan Resources said on Tuesday that they expected delays to their coal deliveries from Borneo island after a bridge collapsed at the weekend, blocking a river used for barge shipments.
"For now ships are not allowed to go across the collapsed bridge area," said Harum Energy spokeswoman Alexandra Mira, adding that the company had notified buyers about the possibility of rescheduled shipments.
She did not give any estimate regarding the volume or length of the likely delay.
Harum's share price fell 5.5 percent on Monday on concerns it would be affected. It rose 0.7 percent on Tuesday.
The delays from the world's top exporter of thermal coal are not seen lifting regional coal prices, given an oversupplied market and concerns about weak demand.
Bayan's coal barging of 20-25,000 tonnes per day along the river from its mine to a port was affected, said Jenny Quantero, a director at Bayan.
An eyewitness said barges were unable to cross the area on Tuesday because of rescue team efforts after the 700-metre suspension bridge on the Mahakam river in Kalimantan collapsed on Saturday, killing at least 18 people.
Indonesia's major coal firms Bumi Resources and Adaro Energy said their shipments were not affected because they did not use the river, though Bumi warned it could be a problem for the industry if the delays continued.
"This may significantly impact transportation of coal at many coal producing mines in the area," Bumi said in a statement.
Brokerage CIMB said that the disruption would only be clear after a safety review in a week's time.
The Mahakam river accounted for around 15 percent of Indonesia's production, so a three-week stoppage could cut three million tonnes, it said.
It said the river each week carried all of Harum's volume of 200,000 tonnes, 158,000 tonnes from Indo Tambangraya Megah and 180,000 tonnes from Singapore-listed Sakari Resources.
CLSA put the potential volume at 20 percent of Indonesia's output, though said firms usually carried three to four-week stockpiles at mines and ports.
"Any outage beyond four weeks could affect Indonesia's coal production by up to 5.7 million tonnes per month," CLSA said in a report.
(sourced Reuters)
Monday, November 28, 2011
Coal Miners’ Shares Drop on Fallout From Bridge Collapse
Monday, November28, 2011
Shares of Harum Energy and other Indonesian coal miners that operate in East Kalimantan province fell on Monday on concern that the collapse of the Kutai Kartanegara bridge into the Mahakam River would affect their profitability.
“The Mahakam River is the largest river in East Kalimantan and has one of the most crowded coal-barging traffic activities,” said Herman Koeswanto, an analyst at Mandiri Sekuritas, in a report sent to clients on Monday. “This will affect almost all listed coal companies that are located in East Kalimantan.”
He said that “the most-affected listed coal companies” would be Harum Energy, Indo Tambangraya Megah (ITMG), Sakari Resources and Bayan Resources.
These companies, which do a lot of business in resource-rich East Kalimantan, use the Mahakam River to transport coal for distribution at a port from their facilities.
Shares of Harum dropped 5.4 percent to Rp 6,950 at the Indonesia Stock Exchange (IDX). ITMG slipped 2.3 percent to Rp 37,800, and Bayan lost 0.3 percent to Rp 18,150. Sakari, which trades in Singapore, shed 1.8 percent to 1.895 Singapore dollars.
The mining index, which measures the movement of coal miners on the IDX, fell 1.4 percent to 2,487.96 on Monday, compared to a 0.3 percent gain for the benchmark Jakarta Composite Index (JCI).
Coal miners including Harum, Bayan, ITMG and Bumi Resources have notified the exchange and investors as to whether the collapse of the bridge would affect them. Most of the coal miners said they would not be affected by the disaster.
“The closure will prevent us from transporting coal from our Separi port to our transshipment points in Muara Jawa and Muara Berau,” said Harum Energy spokesperson Alexandara Mira in a statement.
“Our coal shipment for the month of November 2011 should largely be unaffected since almost all of the coal due to be loaded for the month has been barged past the affected section of Mahakam River. We have notified our customers of potential delays of future shipments resulting from the river closure.”
Dileep Srivastava, Bumi Resources’ investor relations director, said on Monday that the disaster would have no impact on the company.
“We expect to maintain normalcy of coal shipments from our dedicated ports to our valued clients,” Dileep said in a statement.
Jenny Quantero, corporate director at Bayan, said that there would not be any impact on the company in the short term.
“For now, we are not affected,” she said in a statement. “We hope that the reparation of the bridge will not last long. If the renovation will take more time, we will be affected.”
Bayan is producing 14.5 million to 15.5 million tons of coal and it plans to sell 15 million to 16 million tons of coal this year. The company sells coal to Japan, India and Malaysia and has eight mining companies in East Kalimantan, according to its Web site.
Analysts in Jakarta, however, were not so sure that the disaster would have such a light impact on the companies.
“This accident should affect the coal loading and deliveries activities that may incur demurrage cost for coal producers,” Mandiri Sekuritas’ Herman said.
Erindra Krisnawan, an analyst with CIMB Niaga, agreed.
“As long as the evacuation schedule is not clear, we expect their stock to be pressured,” Erindra said.
Saturday’s collapse of the 10-year-old bridge, which spans the Mahakam river in central East Kalimantan province, has claimed the lives of at least 10 people, and 28 more are missing. The government is currently assessing the effects of the disaster.
The government has prevented any ship from crossing the area of the river where the bridge collapsed.
(sourced The JakartaGlobe)
Shares of Harum Energy and other Indonesian coal miners that operate in East Kalimantan province fell on Monday on concern that the collapse of the Kutai Kartanegara bridge into the Mahakam River would affect their profitability.
“The Mahakam River is the largest river in East Kalimantan and has one of the most crowded coal-barging traffic activities,” said Herman Koeswanto, an analyst at Mandiri Sekuritas, in a report sent to clients on Monday. “This will affect almost all listed coal companies that are located in East Kalimantan.”
He said that “the most-affected listed coal companies” would be Harum Energy, Indo Tambangraya Megah (ITMG), Sakari Resources and Bayan Resources.
These companies, which do a lot of business in resource-rich East Kalimantan, use the Mahakam River to transport coal for distribution at a port from their facilities.
Shares of Harum dropped 5.4 percent to Rp 6,950 at the Indonesia Stock Exchange (IDX). ITMG slipped 2.3 percent to Rp 37,800, and Bayan lost 0.3 percent to Rp 18,150. Sakari, which trades in Singapore, shed 1.8 percent to 1.895 Singapore dollars.
The mining index, which measures the movement of coal miners on the IDX, fell 1.4 percent to 2,487.96 on Monday, compared to a 0.3 percent gain for the benchmark Jakarta Composite Index (JCI).
Coal miners including Harum, Bayan, ITMG and Bumi Resources have notified the exchange and investors as to whether the collapse of the bridge would affect them. Most of the coal miners said they would not be affected by the disaster.
“The closure will prevent us from transporting coal from our Separi port to our transshipment points in Muara Jawa and Muara Berau,” said Harum Energy spokesperson Alexandara Mira in a statement.
“Our coal shipment for the month of November 2011 should largely be unaffected since almost all of the coal due to be loaded for the month has been barged past the affected section of Mahakam River. We have notified our customers of potential delays of future shipments resulting from the river closure.”
Dileep Srivastava, Bumi Resources’ investor relations director, said on Monday that the disaster would have no impact on the company.
“We expect to maintain normalcy of coal shipments from our dedicated ports to our valued clients,” Dileep said in a statement.
Jenny Quantero, corporate director at Bayan, said that there would not be any impact on the company in the short term.
“For now, we are not affected,” she said in a statement. “We hope that the reparation of the bridge will not last long. If the renovation will take more time, we will be affected.”
Bayan is producing 14.5 million to 15.5 million tons of coal and it plans to sell 15 million to 16 million tons of coal this year. The company sells coal to Japan, India and Malaysia and has eight mining companies in East Kalimantan, according to its Web site.
Analysts in Jakarta, however, were not so sure that the disaster would have such a light impact on the companies.
“This accident should affect the coal loading and deliveries activities that may incur demurrage cost for coal producers,” Mandiri Sekuritas’ Herman said.
Erindra Krisnawan, an analyst with CIMB Niaga, agreed.
“As long as the evacuation schedule is not clear, we expect their stock to be pressured,” Erindra said.
Saturday’s collapse of the 10-year-old bridge, which spans the Mahakam river in central East Kalimantan province, has claimed the lives of at least 10 people, and 28 more are missing. The government is currently assessing the effects of the disaster.
The government has prevented any ship from crossing the area of the river where the bridge collapsed.
(sourced The JakartaGlobe)
Thursday, November 17, 2011
Coal miner Bumi on track for 2011 target, output up
Thu Nov 17, 2011
* Says Q3 group production up 35 pct to 23 mln tonnes
* Berau Coal sales up 20 pct to 5.5 mln tonnes
* Realised prices for Q3 of $94 per tonne, up 32 percent
LONDON, Nov 17 (Reuters) - Coal miner Bumi Plc , a joint venture between Nat Rothschild and Indonesia's influential Bakrie family, said it was on track to hit its output target of 86 million tonnes in 2011 after a 35 percent rise in production in the third quarter.
Over the first nine months of the year, the group's production has totalled 62 million tonnes.
Realised prices for the group over the quarter were $94 per tonne, up by almost a third on the same period a year ago.
Subsidiary Berau Coal saw sales rise 20 percent compared with the same period last year while coal output increased 23 percent. Berau's 2011 output target is on track and its longer term expansion plan is on schedule, the group said.
Bumi Plc also owns a 29 percent stake in Jakarta-listed PT Bumi, which controls the KPC and Arutmin coal mines.
Relations between Rothschild and his Indonesian partners have deteriorated in recent weeks, with a leaked letter for Rothschild last week calling for a "radical cleaning up" of corporate governance at PT Bumi in a show of frustration.
The Bakries have since gone public themselves with their own criticism of Rothschild's broadside.
Bumi Plc, which began life as Rothschild vehicle Vallar, gained a premium London listing earlier this year.
Its shares have since dropped more than 20 percent, slipping below 850 pence in September in a dip that triggered the mandatory repayment of a loan and almost forced the Bakries into default, before they signed a deal earlier this month to sell half their stake.
(sourced Reuters)
* Says Q3 group production up 35 pct to 23 mln tonnes
* Berau Coal sales up 20 pct to 5.5 mln tonnes
* Realised prices for Q3 of $94 per tonne, up 32 percent
LONDON, Nov 17 (Reuters) - Coal miner Bumi Plc , a joint venture between Nat Rothschild and Indonesia's influential Bakrie family, said it was on track to hit its output target of 86 million tonnes in 2011 after a 35 percent rise in production in the third quarter.
Over the first nine months of the year, the group's production has totalled 62 million tonnes.
Realised prices for the group over the quarter were $94 per tonne, up by almost a third on the same period a year ago.
Subsidiary Berau Coal saw sales rise 20 percent compared with the same period last year while coal output increased 23 percent. Berau's 2011 output target is on track and its longer term expansion plan is on schedule, the group said.
Bumi Plc also owns a 29 percent stake in Jakarta-listed PT Bumi, which controls the KPC and Arutmin coal mines.
Relations between Rothschild and his Indonesian partners have deteriorated in recent weeks, with a leaked letter for Rothschild last week calling for a "radical cleaning up" of corporate governance at PT Bumi in a show of frustration.
The Bakries have since gone public themselves with their own criticism of Rothschild's broadside.
Bumi Plc, which began life as Rothschild vehicle Vallar, gained a premium London listing earlier this year.
Its shares have since dropped more than 20 percent, slipping below 850 pence in September in a dip that triggered the mandatory repayment of a loan and almost forced the Bakries into default, before they signed a deal earlier this month to sell half their stake.
(sourced Reuters)
Friday, November 4, 2011
Indonesian coal miner Golden Energy to raise $245 mln in Nov IPO
Fri Nov 4, 2011
JAKARTA Nov 4 (Reuters) - Golden Energy Mines, an Indonesian coal miner, is set to raise 2.2 trillion rupiah ($245 million) in an initial public offering this month, the firm's underwriter said on Friday.
The miner priced the offering at 2,500 rupiah per share, after a 2,300 rupiah to 3,500 rupiah price range, Kokaryadi Chandra, president director of Sinarmas Sekuritas, told Reuters after the book building process was completed.
The company, controlled by the Widjaja family via its listed unit Dian Swastatika Sentosa , is selling a 15 percent stake in the IPO.
The IPO has been delayed several times this year due to uncertainty over the firm's valuation and a strategic partner to develop its coal mines.
It finally secured a strategic partnership with India's GMR Infrastructure in August, after talks with the world largest coal miner Coal India collapsed.
India's GMR Infrastructure will buy around another 15 percent of the firm via a private placement.
Golden Energy owns 10 coal mining areas across Indonesia, the world's largest exporting nation of the thermal coal used in power stations, and plans to increase production capacity to 6-8 million tonnes this year, from 3 million tonnes last year.
It targets producing 10 million tonnes in 2012 and output of 20-30 million tonnes in 2018 from its current reserves of 850 million tonnes, the Widjaja family has said, which would make it one of the country's top ten producers. ($1 = 8,975 rupiah)
(sourced Reuters)
JAKARTA Nov 4 (Reuters) - Golden Energy Mines, an Indonesian coal miner, is set to raise 2.2 trillion rupiah ($245 million) in an initial public offering this month, the firm's underwriter said on Friday.
The miner priced the offering at 2,500 rupiah per share, after a 2,300 rupiah to 3,500 rupiah price range, Kokaryadi Chandra, president director of Sinarmas Sekuritas, told Reuters after the book building process was completed.
The company, controlled by the Widjaja family via its listed unit Dian Swastatika Sentosa , is selling a 15 percent stake in the IPO.
The IPO has been delayed several times this year due to uncertainty over the firm's valuation and a strategic partner to develop its coal mines.
It finally secured a strategic partnership with India's GMR Infrastructure in August, after talks with the world largest coal miner Coal India collapsed.
India's GMR Infrastructure will buy around another 15 percent of the firm via a private placement.
Golden Energy owns 10 coal mining areas across Indonesia, the world's largest exporting nation of the thermal coal used in power stations, and plans to increase production capacity to 6-8 million tonnes this year, from 3 million tonnes last year.
It targets producing 10 million tonnes in 2012 and output of 20-30 million tonnes in 2018 from its current reserves of 850 million tonnes, the Widjaja family has said, which would make it one of the country's top ten producers. ($1 = 8,975 rupiah)
(sourced Reuters)
Wednesday, November 2, 2011
Indonesian miner Kideco sees 34 million tonnes coal output in 2011
Wednesday, 02 Nov 2011
Reuters reported that PT Kideco Jaya Agung, a unit of PT Indika Energy and Indonesia third biggest coal miner is set to produce 34 million tonnes of coal this year up by 17% from 2010.
Mr Richard Lee Kideco managing director told Reuters that the company aims to produce 43 million tonnes of coal by 2016 to tap growing demand from India and China.
He said that "Our target is to produce 43 million tonnes in five years, adding that the company has already invested in infrastructure to increase its capacity.”
(Sourced from Reuters)
Reuters reported that PT Kideco Jaya Agung, a unit of PT Indika Energy and Indonesia third biggest coal miner is set to produce 34 million tonnes of coal this year up by 17% from 2010.
Mr Richard Lee Kideco managing director told Reuters that the company aims to produce 43 million tonnes of coal by 2016 to tap growing demand from India and China.
He said that "Our target is to produce 43 million tonnes in five years, adding that the company has already invested in infrastructure to increase its capacity.”
(Sourced from Reuters)
Tuesday, November 1, 2011
Atlas Resources sets IPO at RP1,500 - Insider Stories
Tuesday, 01 November 11 | By Insider Stories
Insider Stories reported that, coal miner PT Atlas Resources Tbk has set its initial public offering (IPO) at Rp1,500 (approximately US$ 0.169) per share, entitling the company with Rp1.22 trillion (approximately US$ 137,853,107) proceed.
Accordign to Insider Stories, during the book building, Atlas Resources also obtained strong demand, making the offer experiences oversubscribe of 2.5 folds.
The company is planning to upsize the IPO by 3.5% to 811.33 million shares from the initial plan of 783.33 million shares.
Atlas Finance Director Dono Boestami, as quoted by Bisnis Indonesia today, said the company will exercise a green shoe option of 28 million shares. The company is allocating 117.5 million shares for the option or 15% of the IPO size. PT UBS Securities Indonesia and PT Indo Premier Securities are the IPO underwriters.
The company plans to spend US$105 million up to 2013 as capital expenditure. About 60% of the capex will be spent next year.
source:coalspot.com
If you believe an article violates your rights or the rights of others, please contact us.
Insider Stories reported that, coal miner PT Atlas Resources Tbk has set its initial public offering (IPO) at Rp1,500 (approximately US$ 0.169) per share, entitling the company with Rp1.22 trillion (approximately US$ 137,853,107) proceed.
Accordign to Insider Stories, during the book building, Atlas Resources also obtained strong demand, making the offer experiences oversubscribe of 2.5 folds.
The company is planning to upsize the IPO by 3.5% to 811.33 million shares from the initial plan of 783.33 million shares.
Atlas Finance Director Dono Boestami, as quoted by Bisnis Indonesia today, said the company will exercise a green shoe option of 28 million shares. The company is allocating 117.5 million shares for the option or 15% of the IPO size. PT UBS Securities Indonesia and PT Indo Premier Securities are the IPO underwriters.
The company plans to spend US$105 million up to 2013 as capital expenditure. About 60% of the capex will be spent next year.
source:coalspot.com
If you believe an article violates your rights or the rights of others, please contact us.
Borneo Lumbung buys 23.8% interest in Bumi
Tuesday, 01 November 11
PT. Borneo Lumbung Energi (BORN), an Indonesian coking coal producer announces that it has signed a sale and purchase agreement, conditional upon shareholder, regulatory, and other approvals to acquire an effective economic interest of approximately 23.8% in Bumi Plc.
According to Borneo's press release, the total investment considered of US$ one billion values Bumi plc's shares at approximately GBP 10.91 per share at the date of the announcement and will be payable in cash.
Mr. Samin Tan, President director of BORN, said " This Transaction creates a partnership between two leading mining groups in Indonesia. Through this transaction, BORN will gain access to the growing thermal coal industry through a well established and major platform. The transaction also provides BORN with exposure to a high quality metals portfolio, thus transforming BORN from a pure coking coal producer into a world class diversified natural resources producer. This also signifies our intelligent way of deploying capital"
Mr. Tan Continued, "BORN has proven mine development skills from greenfield through to production stage and we look forward to working with and supporting current management across the Bumi plc group to execute development plants at the exciting new prjects at Dairi Prima Minerals, Gorontalo Mining and Bumi Mauritania as well as achieving synergies and efficiencies across the coal division. We are strongly committed to creating shareholder value at all levels from BORN to Bumi plc and its subsidiaries and associate companies."
According to BORN, this partnership transforms BORN into a leading natural resources company with exposure to both coking and thermal coal as well as a diversified high quality metals portfolio.
The Transaction positions BORN on the global map, as one of the leading mining companies in the world. BORN also believes, the demand and price outlook for the global thermal coal market is positive with China and India expected to be key growth drivers. The transaction provides BORN with exposure to this growth given Indonesia's proximity to both markets.
The investment is expected to be financed through a US$ one billion five-years amortizing term loan facility provided solely by Standard Chartered Bank. The press release further said, Standard Charted Bank is acting as the financial advisor and acquisition finance provider to BORN in connection with the Transaction.
The Transaction is expected to close in December 2011.
If you believe an article violates your rights or the rights of others, please contact us.
(sourced coalspot.com)
PT. Borneo Lumbung Energi (BORN), an Indonesian coking coal producer announces that it has signed a sale and purchase agreement, conditional upon shareholder, regulatory, and other approvals to acquire an effective economic interest of approximately 23.8% in Bumi Plc.
According to Borneo's press release, the total investment considered of US$ one billion values Bumi plc's shares at approximately GBP 10.91 per share at the date of the announcement and will be payable in cash.
Mr. Samin Tan, President director of BORN, said " This Transaction creates a partnership between two leading mining groups in Indonesia. Through this transaction, BORN will gain access to the growing thermal coal industry through a well established and major platform. The transaction also provides BORN with exposure to a high quality metals portfolio, thus transforming BORN from a pure coking coal producer into a world class diversified natural resources producer. This also signifies our intelligent way of deploying capital"
Mr. Tan Continued, "BORN has proven mine development skills from greenfield through to production stage and we look forward to working with and supporting current management across the Bumi plc group to execute development plants at the exciting new prjects at Dairi Prima Minerals, Gorontalo Mining and Bumi Mauritania as well as achieving synergies and efficiencies across the coal division. We are strongly committed to creating shareholder value at all levels from BORN to Bumi plc and its subsidiaries and associate companies."
According to BORN, this partnership transforms BORN into a leading natural resources company with exposure to both coking and thermal coal as well as a diversified high quality metals portfolio.
The Transaction positions BORN on the global map, as one of the leading mining companies in the world. BORN also believes, the demand and price outlook for the global thermal coal market is positive with China and India expected to be key growth drivers. The transaction provides BORN with exposure to this growth given Indonesia's proximity to both markets.
The investment is expected to be financed through a US$ one billion five-years amortizing term loan facility provided solely by Standard Chartered Bank. The press release further said, Standard Charted Bank is acting as the financial advisor and acquisition finance provider to BORN in connection with the Transaction.
The Transaction is expected to close in December 2011.
If you believe an article violates your rights or the rights of others, please contact us.
(sourced coalspot.com)
Monday, October 31, 2011
Indonesia Stocks Movers: Adaro Energy, Garuda, Indosat, Timah
Monday, October 31, 2011
Oct. 31 (Bloomberg) -- Shares of the following companies had unusual moves in Indonesian trading. Stock symbols are in parentheses and prices are as of the close in Jakarta.
The Jakarta Composite index fell 1.0 percent to 3,790.85, slid for the first day .
Coal producers: PT Bumi Resources (BUMI IJ), Indonesia’s biggest coal producer, dropped 4.1 percent to 2,350 rupiah. PT Adaro Energy (ADRO IJ), second-largest coal mining company, fell 4.7 percent to 2,025 rupiah.
Power-station coal prices at Australia’s Newcastle port, an Asian benchmark, dropped 0.2 percent in the week ended Oct. 28. Coal prices at the New South Wales port declined to $117.89 a metric ton from $118.10 the previous week, according to the globalCOAL NEWC Index.
Nickel producers: PT International Nickel Indonesia (INCO IJ), the nation’s largest producer of the metal, dropped 2 percent to 3,650 rupiah. PT Aneka Tambang (ANTM IJ), the second- biggest, fell 2.2 percent to 1,790 rupiah.
Nickel for three-month delivery dropped 1 percent to $19,700 a metric ton on the London Metal Exchange on Oct. 28 and last traded at $19,400.
PT Buana Listya Tama (BULL IJ), an Indonesian provider of freight transportation services, advanced 4.6 percent to 114 rupiah after the company reported nine-month net income jumped to 250.64 billion rupiah from a year earlier.
PT Garuda Indonesia (GIAA IJ), Indonesia’s biggest carrier, climbed gained 2.3 percent to 445 rupiah as crude oil futures fell for a second day in New York, reducing fuel-cost pressure on the Indonesian airline.
PT Indosat (ISAT IJ), an Indonesian telephone company, rose 1.9 percent to 5,350 rupiah after the company reported nine- month net income rose to 992 billion rupiah ($112 million), from 530.9 billion rupiah a year earlier.
PT Timah (TINS IJ), Indonesia’s largest tin mining company, dropped 1.7 percent to 1,990 rupiah. Fifteen tin producers in Indonesia, the world’s largest shipper, agreed to extend a self- imposed ban on exports until the end of the year to help boost prices. They will seek to widen support for the halt at a meeting this week.
(sourced Bloomberg)
Oct. 31 (Bloomberg) -- Shares of the following companies had unusual moves in Indonesian trading. Stock symbols are in parentheses and prices are as of the close in Jakarta.
The Jakarta Composite index fell 1.0 percent to 3,790.85, slid for the first day .
Coal producers: PT Bumi Resources (BUMI IJ), Indonesia’s biggest coal producer, dropped 4.1 percent to 2,350 rupiah. PT Adaro Energy (ADRO IJ), second-largest coal mining company, fell 4.7 percent to 2,025 rupiah.
Power-station coal prices at Australia’s Newcastle port, an Asian benchmark, dropped 0.2 percent in the week ended Oct. 28. Coal prices at the New South Wales port declined to $117.89 a metric ton from $118.10 the previous week, according to the globalCOAL NEWC Index.
Nickel producers: PT International Nickel Indonesia (INCO IJ), the nation’s largest producer of the metal, dropped 2 percent to 3,650 rupiah. PT Aneka Tambang (ANTM IJ), the second- biggest, fell 2.2 percent to 1,790 rupiah.
Nickel for three-month delivery dropped 1 percent to $19,700 a metric ton on the London Metal Exchange on Oct. 28 and last traded at $19,400.
PT Buana Listya Tama (BULL IJ), an Indonesian provider of freight transportation services, advanced 4.6 percent to 114 rupiah after the company reported nine-month net income jumped to 250.64 billion rupiah from a year earlier.
PT Garuda Indonesia (GIAA IJ), Indonesia’s biggest carrier, climbed gained 2.3 percent to 445 rupiah as crude oil futures fell for a second day in New York, reducing fuel-cost pressure on the Indonesian airline.
PT Indosat (ISAT IJ), an Indonesian telephone company, rose 1.9 percent to 5,350 rupiah after the company reported nine- month net income rose to 992 billion rupiah ($112 million), from 530.9 billion rupiah a year earlier.
PT Timah (TINS IJ), Indonesia’s largest tin mining company, dropped 1.7 percent to 1,990 rupiah. Fifteen tin producers in Indonesia, the world’s largest shipper, agreed to extend a self- imposed ban on exports until the end of the year to help boost prices. They will seek to widen support for the halt at a meeting this week.
(sourced Bloomberg)
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