Spindo obtains new contracts from PLN and PGN

IDX-listed steel pipe producer PT Steel Pipe Industry of Indonesia Tbk (Spindo) plans to further boost the company?s production capacity in order to be able to meet new contracts it obtains from several companies including state owned PT Perusahaan Gas Negara (PGN) and PT Perushaan Listrik Negara (PLN), Kontan reported on Monday.

Spindo?s corporate secretary Amir Sube, said in Jakarta over the weekend that Spindo planned to increase its production capacity by 100,000 tons this year to nearly 450,000 tons to enable the company to meet the new contracts.

He said that Spindo recently signed a contract to supply steel pipes for state owned gas distribution company PGN?s pipeline project connecting Cimanggis and Bitung in West Java. ?The contract for this project is worth Rp 350 billion,? he said.

In addition, Spindo has also obtained a contract worth Rp 32.7 billion from state electricity company PLN to provide steel electric towers for the latter?s distribution networks in Kalimantan, Sulawesi and Maluku.

Spindo has also signed a contract worth Rp 63.7 billion for the supply of steel pipes for the expansion of a container terminal in Semarang. (*)