Top coal mining contractor signs refinancing deal

Indonesia?s top coal mining contractor PT. Pamapersada Nusantara on Wednesday signed a US$ 222 Million Syndicated Facilities with a group of 17 lenders coordinated by 4 arrangers, namely Citigroup Global Markets Asia Limited, DBS Bank Ltd, Standard Chartered Bank and Sumitomo Mitsui Banking Corporation.

Proceeds from the Facility will be used to refinance the Company?s existing borrowings, and to finance their working capital funding requirements. The original facility size was US$ 160 Million, but was increased to US$ 222 Million due to oversubscription, parent company JSX-listed heavy equipment seller PT. United Tractors said in a statement.

The Facility comprises a US$ 111 Million Term Loan Facility and a US$ 111 Million Revolving Credit Facility. The Term Loan Facility has a four-year maturity, while the Revolving Credit Facility has a three-year maturity, with an option to extend for another two years.

Pamapersada Nusantara is a leader in the Indonesian mining contracting industry, with approximately 42% of the market share. Its primary operations are coal and limestone mining contracting, road maintenance and port operations. The company?s clients include PT Adaro Indonesia, PT Indominco Mandiri, PT Kaltim Prima Coal and PT Tambang Batubara Bukit Asam.

In 2005, Pamapersada registered net revenues of Rp 6.5 trillion (US$=Rp.9,100). (alex)