Adaro Energy Buys an Additional 46% Stake for US$46 Million to Become the Majority Shareholder in PT Bukit Enim Energi

October 18, 2011, 11:16 am | Admin

PT Adaro Energy Tbk (IDX – ADRO) is pleased to announce that on October 14th, 2011, its subsidiary, PT Alam Tri Abadi (“ATA”), signed a deed of transfer shares to acquire a 46% interest in PT Bukit Enim Energi (“BEE”) for US$46 million from Lucky Star Corporation, Oriental Holdings Ltd., and BrightPath Corporation. Following this transaction, Adaro Energy owns 61.04% of BEE, PT Pamapersada Nusantara (“PAMA”) owns 20%, PT Triputra Utama Selaras owns 13.92% and PT Bumi Alam Sejahtera (“BAS”) owns 5.04%. PAMA, a wholly owned subsidiary of PT United Tractors Tbk., is one of Adaro’s most important and longstanding contractors. neither material nor a related party transaction.

This acquisition is Adaro Energy’s President Director, Mr. Garibaldi Thohir said: “Our investment in BEE is part of our initiative to build a strong foothold and unlock coal potential in South Sumatra. This acquisition, along wiith the other two we recently announced, is part of our commitment to developing coal reserves in the region, while bringing benefit to the local communities. Thi investment helps us achieve our vision to be a leading Indonesian Mining and Energy Group.”

BEE is a coal mining company developing a greenfield coal project in Muara Enim, South Sumatra. BEE holds a mining permit (IUP) granted in March 2011 for a period of twenty years that covers an area of ±11,130 hectares. The area contains a network of local roads, which complement Adaro Energy’s recent coal logistics acquisition in South Sumatra. Adaro Energy conducted a geological due diligence prior to completing the purchase and considers the IUP to have open-cut mining potential. Marston, a reputable international mining consultant, helped perform the geological studies of the coal potential, on which the valuation was based.

Additional drilling and coal analysis are required before a JORC-compliant statement of Resources and Reserves can be issued. Drilling and coal analysis to support such a statement will be resumed in 2012.

BEE is one of a number of acquisitions that, together with organic growth, will help Adaro Energy to achieve 80 million tonnes of production per year in the medium term as the company continues to create long-term sustainable value from Indonesian coal.

General Media:
For further information, please contact:
Devindra Ratzarwin
Corporate Secretary
Tel: (6221) 521 1265
Fax: (6221) 5794 4685
Email: corsec@ptadaro.com

Financial Media:
For further information, please contact:
Mr. Cameron Tough
Head of Investor Relations
Tel: (6221) 521 1265
Fax: (6221) 5794 4685
Email: cameron.tough@ptadaro.com

Last modified on March 14, 2017, 10:07 am | 1920