BHP Billiton sells IndoMet interest
Tuesday, June 7 2016 - 10:19 AM WIB
ASX-listed BHP Billiton reported on Tuesday that it had secured an agreement to sell its 75 per cent interest in IndoMet Coal to its equity partner PT Alam Tri Abadi, a subsidiary of PT Adaro Energy Tbk.
IndoMet Coal comprises of seven Coal Contracts of Work which are located in Central and Eastern Kalimantan. The Haju mine, which is located within the Lahai Coal Contract of Work, has a production capacity of one million tons of coal per annum and has been in production since 2015.
James Palmer, IndoMet Coal Asset President said: ?After a detailed review of IndoMet Coal, we concluded that although the Project could support a larger scale development, BHP Billiton has a range of other growth options in the portfolio that are more attractive for future investment.?
Completion of the sale is conditional upon the fulfillment of customary regulatory approvals. During the approval period BHP Billiton and Adaro will work together to facilitate a smooth transfer of ownership.
Editing by Benget Besalicto ST