BUMA obtains new mining services contract

IDX-listed coal mining services company PT Delta Dunia Makmur Tbk. said that its main subsidiary, PT Bukit Makmur Mandiri Utama (BUMA), has entered into mining services contract with coal firm PT Pada Idi, a subsidiary of Petro Energy, which is engaged in the mining and energy business.

Delta said in a recent statement that BUMA is expected to commence production of Pada Idi?s operation, located in North Barito Regency, Central Kalimantan Province, in the fourth quarter of 2017.

The company said the long-term contract is expected to contribute over 200 million bcm of overburden and over 15 million tons of coal, and valued at over Rp 5 trillion or equivalent to approximately US$385 million, over the tenor of contract.

?The contract serves as an opportunity for the company and BUMA to develop another solid, long-term relationship with new, up-and-coming coal player with in-demand, good quality coal assets,? the statement said but did not specifically said when the contract was signed.

Editing by Reiner Simanjuntak