Bukit Asam Receives Loan Offer from Korea Bank

Resources

Thursday, 10 February 2011 06:03

Theindonesiatoday.com - State miner PT Batubara Bukit Asam Tbk (PTBA) has received loan offer from a Korea-based bank to fund its coal railway & port establishment in Tanjung Enim, South Sumatera.

The company also said it will enter Steam Power Plant establishment project in 2011 with total investment of US$3.5 billion.

“A Korean institution has made offer but we still have not decided yet which one we would take. We want the cheapest but the loan proposal to 4 Chinese banks is still in progress” Sukrisno, PTBA's president director, said.

He said the negotiation for loan with Chinese banks is the company's priority. The loan proposed through its subsidiary PT Bukit Asam Transpacific Railway (BATR). BATR said the loan proposed amounting US$1.05 billion aims to fund the coal, railway and port projects which cost US$1.5 billion.

Regarding the progress of the project, Sukrisno said land clearance will commence by first half of this year and the project is expected to be fully operated by 2014.

Meanwhile, PTBA also plans to establish four Steam Power Plants (PLTU); PLTU Sumsel 6 (2x300 MW), PLTU Pranap Riau (2x300 MW), PLTU Sumsel 8 (2x600MW), and PLTU Madura (2x200MW). Total investments of the projects are US$3.5 billion.

This four projects will be tendered by state utility PT PLN. The company established the projects together in a consortium with Chinese company for PLTU Sumsel 8 and 6 with portion of 45%:41%.

For the PLTU Pranap, PTBA joined with India-based Lanko and PT Pamapersada Nusantara (Parna). In the project, PTBA will own 55%, Lanko will take 30%, and the rest 15% will be held by Parna. (bintang@theindonesiatoday.com)

» Indonesia-China Trade Deficit Widens 44% to US$2.27 Billion

Theindonesiatoday.com - Indonesia's deficit in non oil and gas trading with China expanded 44% in the first four months of 2011 to US$2.27 billion.

Latest News

» Indonesia-China Trade Deficit Widens 44% to US$2.27 Billion

» Singtel Bags S$3.7 Billion Syndicated Loan

» Adira to Pay Dividend Rp791.5 Billion

» Kielenstyn Appointed GM for Wetar Copper Project

» STV Acquires Animation Unit of Next Media for US$100 Million

» Bank Riau Kepri to Issue Rp500 Billion Bonds

» Chevron Sets $32.7 Billion Capex for 2012

» Bank Bukopin Reports 37% Profit Growth

» Govt Bags $164 Million from Wortel Gas Sales

» Dian Swastatika Loans $100 Million to DSSP Power Sumsel

» Indo Mines Raises $10.2 Million

» Fast Food Books Rp175 Billion Profit

» Centurion to Raise Funds for Banda Raya Project

» C @ Limited and Ethica Trada Cemerlang Set Up JV for Coal

» Quantum Bags 55% Interest in PT Isco Polman

Latest News

Most Read

Most Read

Industries

Politics

Law

People