PT Indika Tenaga Baru, the unit of publicly listed firm, PT Indika Energy Tbk (IDX: INDY), has established a joint venture with Fourth Partner Energy Singapore Pte. Ltd., to enter power businesses in Indonesia - Photo: Privacy

JAKARTA (TheInsiderStories) – PT Indika Tenaga Baru, the unit of publicly listed firm, PT Indika Energy Tbk (IDX: INDY), has established a joint venture company (JVC) with Fourth Partner Energy Singapore Pte. Ltd., to enter solar power businesses in Indonesia. Both parties injected capital Rp27.97 billion (US$1.95 million) in the new entity with named PT Empat Indika Tenaga Surya (EMITS).

The management said in an official statement released today, the unit will hold 51.0 percent at the JVC and the rest owned by Fourth Partner Energy. EMITS will provides consulting services related to solar power project installations in Indonesia.

While, Indika lowering the coal production from 33 million tones (MT) of coal to 31.4 MT of coal in 2021. Until third quarter of 2020, the units, PT Kideco Jaya Agung produced 23.9 MT of coal and PT Multi Tambangjaya Utama (MUTU) at 1.3 MT of coal. To support the targets, the miner prepared a capital expenditure around $130 million. Most of the funds used for the subsidiary, PT Petrosea Tbk (IDX: PTRO).

Vice president director and CEO, Azis Armand, reported various diversification steps are being carried out during last year, such as build a storage terminal in Kariangau, East Kalimantan for ExxonMobil, which has been operating since early November 2020. They also making strategic investment in gold miner, Nusantara Resources Ltd., to develop the Awak Mas Project, a gold mine in South Sulawesi .

The company have an  ownership of 45.8 percent in Nusantara Resources and 25 percent in its unit, PT Masmindo Dwi Area. Indika has an option to increases the ownerships up to 40 percent in Masmindo. This gold mine is expected to start the commercial operations in 2022 or 2023 and to produce as much as 100,000 ounces of gold per year.

Indika is an Indonesian integrated energy company through investment strategic in energy resources, such as coal mining through Kideco and Multi Tambangjaya, coal trading through Indika Capital Investment Pte. Ltd., Energy Services through PT Tripatra Engineers & Constructors and PT Tripatra Engineering, and mining contractor via Petrosea.

Then, an investment in renewable and environmentally friendly energy through PT Tripatra Multi Energi, energy infrastructure via PT Mitrabahtera Segara Sejati Tbk (IDX: MBSS), PT Sea Bridge Shipping, PT Cotrans Asia, PT Indika Logistic & Support Services, PT Kuala Pelabuhan Indonesia.

Then fuel storage terminal via PT Kariangau Gapura Energy Terminal, coal steam power plant through PT Cirebon Electric Power and PT Prasarana Energi Cirebon, also a digital technology service company via PT Indika Digital Teknologi.

US$1: Rp14,300

Written by Editorial Staff, Email: theinsiderstories@gmail.com