Ancora eyeing $45m ammonium nitrate supply contract
Tuesday, June 21 2011 - 02:22 AM WIB
PT Multi Nitrotama Kimia (MNK), a subsidiary of listed firm PT Ancora Indonesia Resources, is eyeing a 3-year ammonium nitrate supply contract worth US$45 million from two coal mining companies in East and South Kalimantan.
Ancora?s CEO Dharma Djojonegoro said that currently, the company is participating in the tender held by the two mines. ?We have six competitors in the tender,? he said.
He said the winner of the tender will start supplying ammonium nitrate next year.
If, MNK wins the tender, it is a first contract for MNK, he said.
Ancora has a 40 percent stake in MNK.
MNK will build a new ammonium nitrate (AN) plant to further increase its AN production to between 85,000 and 90,000 tonnes next year and about 140,000 tonnes in 2012 from about 37,000 tonnes at present.
The new plant was expected to start production in August, this year. (giok)