Indonesia's fifth largest thermal coal miner PT Berau Coal Energy Tbk (BRAU) is aiming to spend US$106.3 million of capital expenditure (capex) this year, while coal production is set at 20.4 million tons.
In an official prospectus published by Vallar Plc pages 154, in relation to acquisition of two coal major assets in Indonesia BRAU and PT Bumi Resources Tbk (BUMI), Berau Energy is estimated to produce 17.4 million tons of coal last year. During the first 11 months of last year, BRAU might produce 11.8 million tons.
The capex is intended to jack up production and installed capacity in coming years. About US$11.4 million will be used for land improvement measures, US$21.9 million of routine operating investment, and US$37.7 million of exploration and development activities.
By 2014, BRAU is targeted to reach 30 million tons of coal production with capex spending of US$304.9 million during 2012-2014. At end of this year, BRAU's production capacity is expected to reach 24 million tons.
Disclosure: No position at the stock mentioned above.
Print This Article