Through A Subsidiary, Petrindo Owned By Conglomerate Prajogo Pangestu Targets Production Of 1 Million Tons Of Coal In 2023

JAKARTA - PT Petrindo Jaya Kreasi Tbk (CUAN) through its subsidiary PT Tamtama Perkasa targets coal production and sales of up to 1 million tons in 2023. President Director of Petrindo Jaya Kreasi Michael explained that this target is in accordance with the Work Plan and Budget (RKAB) approved by the Ministry of Energy and Mineral Resources (ESDM).

"This year, according to the RKAB approved by ESDM, for Tamtama Perkasa itself 1 million tons," said Michael at the Indonesia Stock Exchange Building, Wednesday, March 8.

Michael explained that the company's coal production volume as of December 31, 2022 had reached 50 percent of the specified target.

"Last year we were almost above 50 percent for the production target," he added.

The types of coal produced by the company owned by the Prajogo Pangestu conglomerate are high-calorie coal, namely 6100 kcal/kg GAR with low sulfur and ash content, attracting many consumers.

Meanwhile, the coal produced by CUAN is mostly intended for the export market with 45 percent of coal exported to Japan. Meanwhile, other countries that are also consumers of CUAN coal are the Philippines, Taiwan, South Korea, and the European region.

"Currently our biggest market is Japan. Maybe 40 percent is the most to Japan," continued Michael.

It is known that PT Petrindo Jaya Kreasi Tbk has made its initial listing of shares on the Indonesia Stock Exchange on Wednesday, March 8, 2023 and released 1.69 billion ordinary shares with an offering price of Rp220 per share.

Through this first corporate action, the company managed to achieve a total funding of IDR 371.8 billion or equivalent to 15.03 percent of the issued and fully paid capital after the IPO.

The use of funds from the IPO results will be focused on the development of PT Tamtama Perkasa's business, a subsidiary of thermal coal producers with high calorie quality in Indonesia. The company also noted an oversubscribed of 48.85 times the portion of pooling offered to the public.

The acquisition of funds after deducting the emission costs related to the Initial Public Offering of Shares will be distributed to PT Tamtama Perkasa, of 39.95 percent used to build intermediate stockpile (ISP) and supporting infrastructure and 60.05 percent remaining as additional working capital to support mining operations and support coal production activities.