JAKARTA (Yosefardi) – State tin producer PT Timah Tbk (TINS), the world’s second largest tin producer, through its subsidiary PT Timah Investasi Mineral, will acquire coal mining license in Sekayu, Musi Banyuasin, South Sumatra for a total value of Rp1 trillion.
As of June 30, 2013, Timah has cash of Rp746 billion. The company also has loan facility of Rp3 trillion from local and foreign banks.
Timah expect to realize the acquisition of coal miner in Sekayu before this year end. Amid current volatility of commodities prices, many miners sell their assets.
Timah is also now in negotiation to acquire mining asset in South Kalimantan.
Timah targets to book net profit of Rp1 trillion this year, a 132% jump compared to Rp431.6 billion in 2012. While revenues is targeted to increase to Rp8-9 trillion.