Best Indonesia Charcoal Manufacturer – The coal company PT. GIRI GIRI MERA diversified its business after acquiring two coal mining companies some time ago. This business diversification, in addition to focusing on coal or thermal coal, also on coking coal or coking coal.
A year ago, Giri Mera began acquiring the coking coal mining company and Australian coal mining company BHP Billiton. Giri Mera’s Managing Director Mr. Mera said this step was a form of Giri Mera’s diversification from other coal companies. This company used to focus only on existing thermal coal and is used for power generation, cement, and soon. The point is that thermal coal is taken from heat for energy.
As for coking coal, it is used for the steel industry. So with this development, Giri Mera Energy can become a supplier of coking coal for the steel industries in Indonesia. The businessman, said that the other reason was to develop the coking coal business. Namely, because in the region of South Kalimantan found reserves of world quality coke coal.
Previously, Giri Mera’s Head of Corporate Communication Mr. Mera said, since 2018 specifically for coking coal production. It is targeted to be around 1 million tons. There has been no additional production compared to last year, and also for the upcoming 2019.
Coking coal was an important material for steel making. Therefore, this coking coal will be exported to Middle East, Europe and Japan and more Countries. In fact, there are also for domestic needs. Giri Mera Director Mr. Mera said, for the development of coking coal, the company prepared 40 percent of the company’s total capital expenditure, or worth 100 million US dollars – 150 million US dollars. The funds derived from internal cash will be used for the development of the asset infrastructure and exploration.
Cooperation Of Indonesia Charcoal Manufacturer With Middle East
Mr. Mera also explained that the acquisition of countres of Middle East mining company. Was carried out to bring about a reciprocal relationship between Middle East and Indonesia. Our vision is that one day we will learn from an Australian mine which is already more advanced than us from an operational standpoint. On the other hand, anything we can contribute, from our CSR experience can be contributed charcoal in Middle East.
For your information, in March 2018 Giri Mera and EMR Capital, a private equity management company in the mining sector, signed a binding agreement to acquire 80 percent of Rio Tinto’s shares in the Kestrel coke coal mine (Kestrel). The acquisition value of Rio Tinto’s shares in the Kestrel coking coal mine is 2.25 billion US dollars or equivalent to Rp 30.91 trillion (assuming an exchange rate of Rp 13,741 per US dollar).
Later, Giri Mera and EMR will jointly manage and operate Kestrel by utilizing EMR’s experience in acquisitions and mining operations. In 2016, Giri Mera Best Indonesia Charcoal Manufacturer. Also acquired 75 percent of the IndoMet Coal Project (IMC) from BHP Billiton with a value of 120 million US dollars. The IMC consists of seven CCOWs located in South Kalimantan with a total resource of 1.27 billion tons. After being acquired, the asset was named Giri Mera Companies.