Asia Natural Resources secures $10m loan to boost coal exports

Indonesia-listed firm PT Asia Natural Resources Tbk (ANR) has secured US$10 million in loan from Singapore-based financial firm Crest Capitals Asia to finance its coal market expansion.

Asia?s president director Paulus Junanda said in Jakarta on Wednesday that the loan would be disbursed in the second semester of this year. ?With the loan, we will be able to sell our coal exports to India, Malaysia and China,? he said as quoted by Kontan daily.

At present, Asia only sells coal in the domestic market. Beginning this year the company will begin exporting its coal to China.

Paulus said that the company recently secured a contract to export 40,000 tons of coal to China a month for 12 months. The contract is worth $31.2 million.

He estimates that ANR would be able to sell a total of 25,000 tons of coal in the domestic market and 40,000 tons for export market, this year.

ANR, through its subsidiary PT Tekonindo, has also obtained an IUP mining permit from the government to develop a 3.335 hectare nickel mine in Kabaena Island, Southeast Sulawesi.

Paul said that the nickel mine was expected to begin production in the second semester of this year. ?Currently, the company is conducting land clearing in the mine and incorporation with heavy equipment contractor Hyundai,? he added. (*)