hey something to smile about...i think? Friday, 04 05 2012More...

hey something to smile about...i think?

Friday, 04 05 2012

More in Metal
Bumi Minerals Secures US$ 100 M Loan Commitments for Dairi Prima
BY DUDI RAHMAN & NURSEFFI DWI WAHYUNI
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JAKARTA (IFT) - PT PT Bumi Resources Minerals Tbk (BRMS), a Bakrie family-owned mining company, has secured a loan of US$ 100 million for the zinc and lead mine in Dairi, North Sumatra, which is managed by the subsidiary PT Dairi Prima Minerals. Samin Tan, President Director of Bumi Resources Minerals, said the loan was a third of the total funding requirement for the Dairi project, worth US$ 300 million.

Bumi Minerals targeted the Dairi mine to produce zinc and lead starting from 2014. The company will build a processing plant to process the commodity. "The funding of US$ 300 million already includes the processing plants," he said.

The company expected to produce zinc in the amount of 115 thousand tons per year and lead by 60 thousand tons. Production will be sold to domestic and export markets.

Bumi Minerals acquired the shares of Dairi Prima by 80 percent from Herald Resources Ltd, a mining company listed on the Australian Stock Exchange, in 2008. The remaining 2 0percent ??stake is owned by PT Aneka Tambang Tbk (ANTM), a state-owned enterprise in the mining of metallic minerals.

In 2011, Bumi Minerals booked sales of Rp 182 billion, and a net profit of Rp 664 billion. Despite the decline in copper and gold production of over 47 percent from its affiliate, PT Newmont Nusa Tenggara, the company was able to record a fairly good financial performance last year.

Kenneth P Farrell, Deputy Director of Bumi Minerals, said the financial performance was achieved due to the rising commodity prices of copper and gold, as well as the decrease in interest expense of the company. In 2011, the company’s price of copper and gold increased by three percent and 28 percent, respectively. Meanwhile, the interest expense decreased by 64 percent compared to last year’s figure.

"We have also managed to pay off several loans in the last 12 months. Therefore, the ratio of net loans to the company's capital is still good at 0.1 x and the burden of interest expense decreased to 64 percent," said Farrell.

Maritim Secures Loans

PT Maritim Barito Perkasa, a subsidiary of PT Adaro Energy Tbk (ADRO) engaged in coal transportation services, has secured a bank loan worth US$ 160 million or around Rp 1.47 trillion, according to company directors. The loans came from 10 foreign banks with seven-year tenor.

David Tendian, Chief Financial Officer of Adaro Energy, secured a commitment of US$ 915 million or 5.7 oversubscribed.

As of the first quarter of 2012, Maritim Barito Perkasa has transported 3.92 million tons of coal, up 17 percent over the same period last year. The increased transport of coal was done by barge and ship loading contractor because of the additional barges and tugs which were purchased the company in the third quarter of 2011. (*)