UT, Armadian close Berau share sale

JSX-listed heavy equipment maker United Tractors has closed transaction to sell its 60 percent interest in East Kalimantan coal mining firm PT. Berau Coal to local firm Armadian Tritunggal on Thursday.

Berau Coal president Jeffrey Muljono told Petromindo.Com on Friday that Armadian now holds 90 percent of Berau Coal?s share, with Japan?s Sojitz Corp. holds the remaining 10 percent. Jeffrey also said there was no change in the board of directors, except inclusion of one director who represents Deutsche Bank.

Armadian, 30 percent shareholder, exercised pre-emptive right to buy 60 percent of Berau?s shares from United Tractors after the latter planned to sell its shares in Berau to Indika Inti Corpindo.

Berau Coal has production capacity of around 9 million tons annually.(alex)