New owner to boost Adaro?s output to 35 MTPA

South Kalimantan coal miner PT Adaro Indonesia is expected to boost production significantly within the next 2-3 years after a consortium that consists of Indonesian businessmen completes acquisition of Adaro?s 41 percent shares from Australian firm New Hope Corporation (NHC).

?We?ll boost Adaro?s production to 35MPTA from 26 MTPA,? currently, said Garibaldi Thohir, a founding shareholder of PT Alam Tri Abadi as quoted by Bisnis Indonesia Daily. Alam Tri Abadi is a consortium whose members include Edwin Soerjadjaya, whose family controls PT Dianlia Setyamukti that owns 51 percent shares of Adaro.

Garibaldi said that the conditional SPA would be closed next week. The consortium, backed by Singapore?s conglomerate Temasek Holding and Farralon Corporation, would by Adaro?s 41percent shares and 50 percent shares in terminal coal operator PT Indonesia Bulk Terminal which is also owned by NHC for US$378 million.

He also said that the recent lawsuit filed by former Adaro Shareholder Beckkett Pte Ltd, would not affect the closure of the SPA. ?The law suit does not affect NHC?s shares in Adaro. The lawsuit is about 40 percent of Adaro?s share that was put as collateral by Beckkett to Deutsche Bank and then later being sold to Dianlia. (*)