Terra Resources buys 30% stake in Palaran Sinergi
Monday, June 3 2013 - 11:15 PM WIB
Terra Resources Trading Singapore Pte Ltd announced on Monday it has acquired a 30 percent stake in PT Palaran Sinergi Mas, a multi-product loading river terminal located in Sanga Sanga River, Palaran, East Kalimantan, for an undisclosed amount.
Palaran Sinergi is a foreign direct investment company, which has also a business scope of trading, mining operations and mining contracting, apart from logistics.
Palaran is currently operating as 100 percent thermal coal loading facility, with 2 loading points and one more under development, of maximum 300ft river barge loading capability. It is strategically located in the Sanga-Sanga River, 6-8 hours from the transhipment point, is the only terminal in the area with a formal Port License, thus not limited to loading thermal coal but can also facilitate any types of commodities and cargo.
Current capacity is 100,000MT/month, which Terra is planning to expand to 250,000MT/month within one year to meet increased demand in Palaran area, since PT.PSM is the only loading terminal in the specific area with available capacity and 300ft barge loading capability.
The area surrounding the company is coal rich with grades varying from GAR 3600-5500, Terra has plans to diversify the operations, potentially expanding to fuel storage due to the location of the firm next to Samarinda's container terminal and the fuel demand from mining operations in the area.
Editing by Dadan Wijaksana