Dianlia Setyamukti postpones IPO plan

Mining company PT Dianlia Setyamukti has indefinitely postponed its initial public offering (IPO) plan, initially scheduled for June this year.

?The IPO plan ? is still being discussed by shareholders. Certainly, it will no happen this year,? company director Andre J Mamuaya in e-mail sent on Tuesday to Petromindo.Com.

The firm initially planned to hold the IPO in June this year to raise funds for debt refinancing and the development of mining contractor service subsidiary PT Saptaindra Sejati.

Dianlia has a 51 percent stake in South Kalimantan-based PT Adaro Indonesia, the country?s largest coal producer, and a 50 percent stake in PT Indonesia Bulk Terminal (IBT), also in South Kalimantan. Adaro produced 23 million tons of coal last year. Aside from Adaro, IBT?s giant coal port at Pulau Laut also serves several other coal miners in the region.

Andre also said the firm?s electricity subsidiary PT Makmur Sejahtera Wisesa (MSW) would go ahead with its plan to build a mine-mouth power plant in the border area of South Kalimantan and East Kalimantan.

He said MSW had completed the feasibility study for the planned 2 x 50 MW power plant and had talked with state electricity firm PT PLN.

According to him, PLN had decided to put the project into tender.

MSW in partnership with PT Pembangkitan Jawa Bali, a PLN subsidiary, would participate in the tender and was confident to win the tender, Andre said, citing that the consortium had all that was required by PLN for the project, including mine ownership; operation and maintenance experience; and financial and technical capabilities. (Robert)