Inalum Begins $1.9 billion Expansion with New Power Plant
Bareksa • 16 Jun 2014
Ilustrasi Industri Alumunium - (Kompas)
Inalium would likely be ready for an IPO in 2016
Bareksa.com - Quoted from The Jakarta Post, State-owned aluminium maker PT Indonesia Asahan Aluminium (Inalum) will spend around US$750 million on a steam-fueled power plant, which would double its production capacity, starting from mid-next year in anticipation of higher energy demand.
Inalum president director Winardi Sunoto said Friday that the firm expected to cover 35 percent of the 600-megawatt power plant project from internal cash. It was now seeking to generate the rest from external sources.The new power plant project is part of $1.9 billion that Inalum will spend on a wide array of development projects over the next few years, including a new aluminium smelter and seaport.
To finance the projects, Inalum will prioritize the use of internal cash while seeking alternatives such as syndicated loans, bonds issuance and an initial public offering (IPO) in 2016, Winardi said.