Timah, Bukit Asam compete for coal mining assets
Tuesday, February 6 2001 - 04:30 AM WIB
Two state-owned companies: tin mining firm PT Tambang Timah and coal mining firm PT Tambang Batubara Bukit Asam are competing to acquire four coal mining firms under the Indonesian Bank Restructuring Agency (IBRA), according to the Republika daily.
The paper said that Timah wanted to acquire the firms as part of its expansion and diversification program, while Bukit Asam want to make the acquisition to turn itself to become the country's largest coal mining operation.
The paper quoted Timah president Erry Riyana Hardjapamekas as saying that the company had sufficient cash to make the acquisition, and expressed confident that it would win the bid.
Separately, Bukit Asam president RA Sunardi was also confident that the company would win the tender.
The two declined to provide more details.
The four mining firms are PT Indominco Mandiri, PT Kitadin (both have been in operation), PT Truba Indo Coal Mining, and PT Barasentosa Lestari (under exploration). The firms were previously owned by the Salim Group, once the country's largest conglomerate. The firms are part of the more than 100 companies surrendered by Salim to IBRA to repay debt to the government.(*)