UT plans to acquire more coal mines

IDX-listed heavy equipment distributor and coal mining firm, PT United Tractors Tbk., plans to acquire more coal mines to further expand the company?s coal mine operations.

The company?s corporate secretary Sara K. Loebis said that at present the company was still in final talks to acquire a coal mine in Central Kalimantan. ?The acquisition is expected to be finalized in August this year,? she said.

Sara said the coal mine would be acquired by United Tractors? subsidiary PT Tuah Turangga Agung (TTA). According to Sara, the company has prepared about Rp 300 billion for the acquisition.

United Tractors have been very active lately in acquiring other coal mines to increase the company?s coal mine operation, which at present contributes about 10 percent to its total revenues.

At present, through several subsidiaries, United Tractors owns eight coal mines in Kalimantan, with total reserves of between 317 and 392 million tons. (*)