PTBA reports expansion program to boost coal sales
Friday, May 30 2008 - 03:13 AM WIB
"Only 48 percent of the independent shareholders approved the acquisition plan. Others opposed the plan," PTBA's president director Sukrisno said following the shareholders meeting.
He said PTBA would seek other way to form a shipping unit but he did not give further details.
However, the despite their opposition against the acquisition plan, the independent shareholders approved the establishment of the company's three joint venture companies.
PTBA has formed a joint venture (JV) PT Sriwijaya Kereta Api Trans (SKAT) with state railway operator PT Kereta Api Indonesia (KAI) to revamp existing railway tracks for the company's coal transportation.
PTBA has 30 percent share in the JV and the remaining held by KAI.
The project is expected to begin in this year and it will take 5 years to complete. Thus PTBA will be able to boost coal sales to 20 million of coal from current about 8 million, he said.
Total investment in the project is expected to reach around Rp 6.3 trillion, 70 percent of which will come from loan and another 30 percent from JV's internal fund, he said.
PTBA has also formed a JV company PT Railway & Port in cooperation with PT. Transpacific Railway Infrastructure (Transpacific) and Chinese firm China Railway Engineering Corporation (CREC).
The JV will build new railway track from PTBA's mine in Tanjung Enim to Tarahan port in Lampung. The JV has picked CREC as an EPC and O&M contractor.
Total investment in this project is about US$1,061 million.
PTBA has 10 percent share in the JV, Transpacific holds 80 percent in the JV and another 10 percent held by CREC.
In addition, PTBA has also established a JV firm PT Mining with Transpacific to develop PTBA's East Bangko Tengah mine in South Sumatra . PTBA has 65 percent share in PT Mining and the rest held by Transpacific.
PTBA hopes that PT Mining will be able to produce 5 million ton of coal in the first year and rumps up to 20-22 million in the next four years.
With the expansion plan, PTBA will be able to increase its coal sales to about 50 million tons a year in 2013 from 10.85 million tons at present. (denny)