ABM secures $300m contract to develop a Riau coal mine

PT ABM Investama Tbk, a subsidiary of PT Cipta Kridatama, has signed a contract worth about US$300 million to develop a coal mine owned by PT Riau Baraharum in Indragiri Hilir, Riau.

Under the contract, ABM will provide a wide range of mining services including land clearing, overburden removal and the operation of heavy equipment.

?With the contract, we hope we will have more stable stream of revenues in the next five years,? Boedi Santoso, the president director of Cipta Kridatama, said, adding that at present, Cipta Kridatama had secured long-term contracts for development of nine mining concession areas owned by major mining companies.

Last year, Cipta Kridatama?s overburden removal reached 118 million cubic meter, up 18 percent from those recorded in the previous year. Up to June 30, the company had heavy equipment fleet of 400 units. (*)