Harum Energy, Belong To The Kiki Barki Conglomerate, Buys Nickel Company Shares For Almost IDR 1 Trillion

Conglomerate Kiki Barki. (Photo: Doc. Forbes)

JAKARTA - The mining company owned by the Kiki Barki conglomerate, PT Harum Energy Tbk (HRUM), has again strengthened its expansion into the nickel business sector. No half-hearted, the company poured nearly IDR 1 trillion for this.

Harum Energy through its subsidiary PT Tanito Harum Nickel purchased 259,603 new shares or 24.5 percent of the total shares issued by PT Infei Metal Industry (IMI).

The value of the transacted price was 68.60 million US dollars. If converted to an exchange rate of IDR 14,000, the transaction will be equivalent to IDR 960.40 billion.

PT IMI is a limited liability company established under the applicable laws in Indonesia and is engaged in nickel refining (smelter).

Harum Energy President Director Ray A Gunara said the purpose of this transaction was to develop the downstream business of adding nickel owned by the company to the processing stage to increase added value.

"There is no material impact from the purchase of shares on operational activities, law, financial condition, or business continuity", said Ray, quoted from the disclosure of information on the IDX, Tuesday, February 23.

Previously, Harum Energy's patent step to expand in nickel was seen in 2020 where they acquired Nickel Mines Limited, a nickel mine from Australia for 34.26 million US dollars or equivalent to IDR 369 billion.

Not only that, but Harum Energy also acquired 51 percent of PT Position shares owned by Aquila Nickel Pte Ltd, or the equivalent of 24,287 shares of the company. Aquila is a Singapore-based company.

The sale and purchase price with Aquila was signed at $ 80.32 million, equivalent to IDR 1.12 trillion. Ray said PT Position is a limited company established under Indonesian law and has a Mining Business License (IUP) for a nickel.

"The purpose of the transaction carried out by the company is to develop and expand business activities in the mining sector", said Ray.