Adaro spends one third of capital expenditure in Q1

By Hiski Darmayana

Indonesia-listed giant coal miner PT Adaro Energy Tbk reported that the company has spent about one third of its allocated capital expenditure in the first quarter this year among others to build hauling road and port.

Adaro Finance Director David Tendian said that of the allocated capital expenditure of between US$650 million and $700 million, the company has spent between $ 175 million and $200 million as of March.

"The capital expenditure is used to build infrastructure such as hauling road and port," he said, adding that the remaining would be spent to meet the company's production target of about 50 million tons to 53 million tons this year.

Adaro reported earlier that its net revenue increased 21 percent to US$916 million with coal production growth of 3.4 percent to 10.96 million tons in the first quarter this year.

The company's sales volume increased 3.1% to 11.25 million tons with the average selling price improved 17.9 percent due to higher international thermal coal prices.

Editing by Adianto P. Simamora