Semen Indonesia plans to buy coal, acquire concessions

By Hiski Darmayana

IDX-listed cement manufacturer PT Semen Indonesia Tbk, through its coal supplier subsidiary PT Energi Prima, is currently in talks with coal concession owners in Kalimantan and Sumatra for possible acquisition and coal purchase.

?The results of the talks could be acquisition of concession or coal purchase. For sure, we targeted Energi Prima to be able to start supplying coal this year,? Corporate Secretary of Semen Indonesia, Agung Wiharto told Petromindo.com.

He added that Energi Prima will supply coal to Semen Indonesia. ?We?ll be its primary market (customer),? he said.

Semen Indonesia needs about 5 million tons of coal this year to fuel its manufacturing facilities and a power plant in South Sulawesi. The company currently gets coal from PT Adaro Energy and other smaller miners with calorific value of 4,500-5,700 kcal/kg.

Editing by Reiner Simanjuntak