Bukit Asam raises fresh funds from selling treasury stocks
Thursday, May 9 2019 - 03:11 AM WIB
State-owned coal producer PT Bukit Asam Tbk (PTBA) has raised fresh funds from selling treasury stocks. The proceeds will be used to cover the investment and operational activities of the company.
President Director of Bukit Asam Arviyan Arifin said that small portion of the treasury stocks were absorbed by PT Indonesia Asahan Aluminium (Inalum), a state mining holding company, which is also the parent entity of Bukit Asam.
He said Inalum absorbed 20% of the sold treasury stocks. Prior to the sale, Bukit Asam's treasury stocks totaled 8.5% of the company's enlarged capital.
"It (Inalum) only absorbs small portion of the treasury stocks. Mostly, it is absorbed by by the market," he was quoted by Bisnis.com as saying on Wednesday (08/05).
He noted the company sets a target to produce 27.26 million tons of coal in 2019, up 3% from last year.
In term of sales, PTBA targets to sell 28.38 Mt of coal this year, up 15% from last year, in which 13.67 Mt would be sold to domestic market and 14.71 Mt to overseas market. The sale will be supported by the sale of medium-to-high calorie coal, which is projected to reach 3 Mt this year.
In addition, the company sets investment of Rp6.47 trillion this year, Rp1.13 trillion of which will be used for routine investment and the remaining Rp5.35 trillion for development investment. (*)