Apexindo obtains loan worth US$31.5 million from BCA

Bank Central Asia (BCA) has agreed to provide loan worth US$25 million to oil and gas drilling company PT Apexindo Pratama Duta to refinance the company's existing credits and to strengthen its working capital, Kompas reported on Tuesday.

The loan agreement was signed in Jakarta on Monday by BCA's directors Dhalia Mansor Ariotedjo and MM Dick Noordeen, and Apexindo's president Hertriono Kartowisastro and finance director Agustinus B. Lombaan. BCA agreed to provide loans worth US$31.5 million, which would comprise cash loan worth US$25 million and non-cash loan about US$6.5 million.

The loan will be used to strengthen working capital, to hedge its foreign currency, to refinance existing credits and to provide a guarantee fund for the new bidding as well as to repair the company's floating rig Maera which was burned in early 2002.

The company expects this year's revenue will increase by 10 percent from Rp 556 billion (US$=Rp8,400) last year, while net profit is expected to surge by 20 percent from Rp 38.6 billion in 2002. In 2004, the company estimates a higher increase in earning because all the company's four floating rigs would fully operate for 12 months.

Apexindo, a subsidiary of oil company Medco Energi Internasional, began to operate two new mobile floating rigs Raissa and Yani in May and June, this year, respectively. The rental rate for Raissa is about US$46,000 per day while that of Yani is US$38,000 per day.(*)