Breaking News: Bumi Resources buy 100 percent stake of KPC
Monday, July 21 2003 - 10:41 AM WIB
JSX-listed resources company PT. Bumi Resources announced on Monday that it had signed sales and purchase agreement (SPA) to acquire 100 percent shares in East Kalimantan coal miner PT. Kaltim Prima Coal (KPC).
?On July 16, Bumi had signed SPA with subsidiary of Rio Tinto Limited and and BP International Limited to acquire 100 percent stake in Sangatta Holding Limited and Kalimantan Coal Limited,? said the company in a report to Jakarta Stock Exchange.
Sangatta Holding, a Cayman Island-based paper company is a wholly owned subsidiary of Rio Tinto, while Kalimantan Coal Limited, which is based in Mauritius is a wholly owned subsidiary of BP.
Bumi director Eddie J. Sobari told Petromindo.Com that the acqusition price for 100 percent of KPC shares was around US$ 500 million, and the financial closure was expected in October this year.
Bumi Resources, which also owns South Kalimantan-based coal mining firm PT. Arutmin Indonesia is controlled by Indonesian businessman Aburizal Bakrie .
By controlling KPC, Bumi Resources will become the country?s top coal producer with 2003 combined production plan of around 35 million tons.
KPC is now in dispute with East Kalimantan provincial government over the company?s planned divestment which had been stalled for years. (alex/arry/godang)