Blue Bird Group to enter mining sector

Indonesia?s largest taxi operator Blue Bird Group, through its Heavy Equipment Division, plans to expand into coal mining operations by acquiring coal mines in South Sumatra and Kalimantan, Investor Daily reported on Friday.

Vice President of Commercial Heavy Equipment Division Ardian Maddanatja said that he hoped the acquisition of the coal mining companies could be realized in 2015. The expansion into mining operation was expected to support the company?s business to sell heavy equipment to mining companies, he added.

At present, Blue Bird Group is the distributor of heavy equipment Belaz and Zoomlion.

?Initially, we begin as the distributor of Belaz dan Zoomline. Indonesian buyers generally will not buy if there are no example operations and after sales services. This is the reason why we have to become coal mine operator,? he said.

In its expansion plan, the company will acquire existing coal mines or create joint ventures with other companies. Ardian said that 48 percent of the mining areas will be located in South Sumatra and the rest in Kalimantan.(*)