United Tractors gives $100m of loan to coal unit
Monday, July 11 2011 - 07:51 AM WIB
Indonesia-listed heavy equipments distributor and miner PT United Tractors Tbk has handed US$100 million in loan to its Central Kalimantan coal mining unit PT Tuah Turangga Agung (TTA).
The company said last week that it used proceeds from the recent rights issue to finance the capital injection. UT has signed advance shares subscription agreement on July 6, 2011.
TTA plans to produce 1.5 million tonnes this year. As of May this year, TTA has produced 465,000 tonnes. ?At present, the mine has come to full operation as the weather condition at the mine has improved,? UT's corporate secretary Sara Loebis told Petromindo.com late June.
Contracts have been in place to deliver all the coal from TTA to Japan, she added. (denny)