UT completes acquisition of Duta Sejahtera

IDX-listed firm PT United Tractors Tbk (UT) reported on Tuesday that its subsidiary PT Tuah Turangga Agung has completed on October 14, 2011 acquisition of 60 percent shares of PT Duta Sejahtera for US$11.5 million.

Duta Sejahtera is a coal mine concession holder with an area of approximately 5,000 hectares located in Barito Utara regency, Central Kalimantan .

UT said last month that it was in the process of acquiring 60 percent shares of two greenfield coal mines in Central Kalimantan namely Duta Sejahtera and PT Duta Nurcahya through a Conditional Sale and Purchase Agreement that was signed on July 8, 2011.

According to UT Corporate secretary Sara Loebis as quoted by Investor Daily, the mines have reserves of between 25-100 million tonnes with CV ranging from 6,000 to 6,300 kcal/kg. Production from the mines is targeted to start in 2013 with initial output of 500,000 tonnes in the first year, she said. (alex)