Dian Swastatika allocates $200m in capex this year

By Brigida Ernestina Elu Wea

IDX-listed coal and power company PT Dian Swastatika Sentosa Tbk (DSS) has allocated US$200 million for capital expenditure (capex) this year, roughly similar to last year?s capex amount.

DSS Director and Corporate Secretary Hermawan Tarjono said of the $200 million capex, $150 million is allocated for power business, and the remaning $50 million for coal mining and multimedia businesses.

?The capex for power business is bigger because we have two power projects. One is PLTU Sumsel 5 which is now in finishing phase and will contribute to the company?s revenue this year. The other is PLTU Kendari 3 which is still under construction,? Hermawan told Petromindo.com.

PLTU Sumsel 5 has the capacity of 2x150 MW, while PLTU Kendari 3 has the capacity of 2x50 MW.

The capex funds will be raised either from internal resources or lenders. As of Sept. 31, 2015, the firm had $143.23 million in cash and cash equivalents.

?Raising funds externally will depend on the progress of each of the power plant projects,? he said.

Editing by Johannes Simbolon