Antam secures $100m sharia financing facility from Maybank

By Tri Subhki R

IDX-listed state-controlled mining firm PT Aneka Tambang Tbk (Persero) has secured US$100 million in sharia financing facility from Maybank Indonesia for its ferronickel smelter project at Pomalaa, Kolaka Regency, Southeast Sulawesi.

President Director PT Aneka Tambang Tbk Tedy Badrujaman welcomes the financing facility, saying the lender still have confidence in Antam despite the current challenging situation.

"The financing facility is allocated for the ferronickel smelter expansion project at Pomalaa," Tedy said on Friday. Tedy added that Antam got more competitive financing facility from Maybank.

Antam's ferronickel smelter now produces 18,000-20,000 tons of nickel in ferronickel and once the $600 million expansion project is completed, the smelter production capacity will increase to 27,000-30,000 tons per year. The expansion project is expected to be completed early next year.

As part of the Pomalaa ferronickel smelter expansion project, Antam is also developing a 2x30 MW coal fired power plant which will improve the smelter?s efficiency

Meanwhile, Maybank prioritizes the sharia financing for state owned enterprises. "This is the beginning of our cooperation with Antam. We will see other opportunities in the future," Taswin Zakaria, President Director PT Maybank Indonesia Tbk., said.

Taswin added that Maybank provides financing for Antam due to the firm's good performances amid challenging situation and its contribution to the national economy.

Editing by Johannes Simbolon