Release: Banpu: Plans for listing of Indonesian coal business

Banpu Public Company Limited ('the Company') would like to notify the Stock Exchange of Thailand that the Company is moving forward with plans to list the Company's Indonesian coalmining interests via an initial public offering ('IPO') of PT Indo Tambangraya Megah ('ITM'), a 95%-owned subsidiary, on the Jakarta Stock Exchange ('JSX').

 

The timing of the IPO will depend on capital market conditions but the current intention is for a listing during the second half of 2007.

 

The main reasons for the IPO of ITM and listing on JSX are as follows:      

• Growth: establishing an acquisition currency and competitive advantages for further growth in Indonesia - in coal, power and related infrastructure.
• Capital: providing opportunities for independent equity and debt capital funding.
• Accountability: imposing reporting and corporate governance disciplines
• Value transparency: promoting the visibility of the value of Banpu's Indonesian coal assets

The Company will release further information about the size of the planned share offering in ITM shares, offer structure, expected proceeds to Banpu PCL and other details at a later date. (end of release)