Supporting Government Strategic Projects, Bank Mandiri Distributes USD 277 Million Syndicated Loan To PT Ceria Metalindo Prima

Photo: Doc. Mandiri Bank

JAKARTA - PT Bank Mandiri Tbk together with Bank BJB and Bank Sulselbar confirmed their commitment to encourage the acceleration of domestic mineral downstreaming. This was realized through the signing of a Syndicated Credit Agreement for Term Loan Facility to PT Ceria Metalindo Prima (CMP) which is part of PT Ceria Nugraha Indotama (CNI) Group with a total financing value of 277.69 million US dollars or around IDR 3.98 trillion (exchange rate of IDR 14.368.3 per US dollar).

This syndicated loan was disbursed to build a laterite nickel ore processing smelter project Rotary Kiln Electric Furnace (RKEF) which consists of a Rotary Kiln Electric Funance (RKEF1) factory and operational support infrastructure for RKEF1 in Lapaopao, Kolaka, Southeast Sulawesi with a tenor of up to 9 years. Meanwhile, in the agreement, Bank Mandiri acts as Mandated Lead Arranger and Bookrunner.

This commitment was marked by the signing of a Syndicated Credit Agreement by the Director of Corporate Banking of Bank Mandiri Susana Indah K. Indriati together with the Acting President Director of Bank Sulselbar H. Yulis Suandi, SEVP of Bank BJB Business Beny Riswandi and Director of PT CMP Derian Sakmiwata witnessed by the Minister of Energy and Mineral Resources Arifin Tasrif and Bank Mandiri President Director Darmawan Junaidi and Bank Mandiri Deputy President Director Alexandra Askandar at the Ministry of Energy and Mineral Resources Headquarters, Jakarta, Wednesday 6 April.

The President Director of Bank Mandiri, Darmawan Junaidi, explained that this collaboration is expected to be a catalyst for economic growth, provide added value to the domestic industry, and create new job opportunities for the community.

"The signing of the syndicated loan agreement today feels very special because it is a milestone not only for Ceria Nugraha Indotama (CNI) Group but also for Bank Mandiri," said Darmawan in his official statement, Thursday, April 7.

The financing agreement is also proof of Bank Mandiri's commitment to supporting the National Strategic Project (PSN). CNI and Bank Mandiri designed a financing scheme for project finance, which is also a project financing where Bank Mandiri is the Structuring and Coordinating Bank.

This financing to CMP focuses on the construction of a ferro nickel smelter plant, which is later expected to facilitate access to the production and distribution of processed nickel both from and to the Indonesian people in general.

"We hope that with the financing of the Term Loan facility, it can help Indonesia to play a central role in the dynamics of the nickel market for the development of the local nickel industry and its derivatives and support government programs related to acceleration of downstreaming to provide added value to Indonesian mineral commodities," he concluded.