CK obtains new mining services contract

By Romel S. Gurky

Mining services company PT Cipta Kridatama (CK), a subsidiary of IDX-listed integrated mining firm PT ABM Investama Tbk, has recently won a new contract worth Rp 1.14 trillion (or about US$82 million) from coal mining company PT Indomining (IM), which is a subsidiary of IDX-listed coal miner PT Toba Bara Sejahtera Tbk.

ABM said in a statement Monday that the new contract, which is valid until 2021, was signed on April 1 by Cipta President Director Irfan Setiaputra and IM President Director Arthur Simatupang.

Under the five-year contract, Cipta will provide services for overburden removal at a 683-hectare mine in Sanga-Sanga, Kuta Kartanegara Regency, East Kalimantan, the statement said, adding that the overburden removal volume until end of contract is projected to reach 65 million bank cubic meters.

ABM said that this is the second contract of Cipta with the Toba Bara group, after it signed a $396 million contract in June of last year with PT Adimitra Baratama Nusantara, another Toba Bara subsidiary, which also operates mines in Sanga-Sanga.

Editing by Reiner Simanjuntak