Duta Pertiwi seeks $80 million funds to finance mining operation

PT Duta Pertiwi Nusantara Tbk expects to raise funds of between US$80 million and US$100 million to finance the company?s expansion into coal mining activities, Bisnis Indonesia.Com reported on Saturday.

Duta Pertiwi president director Siang Hadi Wijaya said in Jakarta on Friday that the company was currently seeking a new financial advisor to replace Merrill Lynch to help arrange the funding required for the expansion plan.

He hoped that a feasibility study on mining operation could be completed this year so that exploration at the existing coal mine concession could be begun in the following year.

Duta Pertiwi which previously focused its activities on the production of glue for plywood has a coal mine concession in Muara Berlian, Jambi with reserves of between 100 million and 200 million tons.

The mining operation will be handled by PT Intitirta Primasakti, a joint venture which is 60 percent owned by Duta Pertiwi and 40 percent by PT Arpeni Pratama Ocean Line?s subsdidiary PT Peta Airus. (*)