Borneo Resource secures $10m loan
Thursday, September 20 2012 - 03:51 AM WIB
Borneo Resource Investments Ltd. announced that the company has secured a $10 million credit facility from PT BRIngin Srikandi Finance, a subsidiary of PT Bank Rakyat Indonesia (BRI).
The credit facility was provided in the form of a Letter of Indebtedness (Promissory Note) with a term of four years and bears interest at 4% per annum.
The company said that net proceeds from the credit facility would be used for expenses related to carrying out geological surveys and reserve estimation, strategic expansion of its concession portfolio, furthering of the coal trading business, and for working capital to support operations.
"We are very pleased with the confidence shown in us by BRI, one of Indonesia's major financing institutions. We look forward to developing a long-term relationship with BRI as we advance our activities in Indonesia, which is rapidly becoming one of the most significant global economies and a resource gateway to Asia," Nils Ollquist, Chairman and CEO of the company said.
Borneo Resource Investment is a holding company for an investment platform comprising thermal coal concessions and licenses in Borneo, Kalimantan, and West Papua Province.
Editing by Adianto P. Simamora