JAKARTA (Yosefardi) – PT Dian Swastatika Sentosa Tbk (DSSA), unit of Sinar Mas Group, allocates capital expenditure (capex) of US$270 million for 2014, mostly to fund its power plant project.
The company allocates capex of US$100 million for this year. The company is now building a mine mouth power plant with capacity of 2×150 megawatts in Musi Banyuasih, South Sumatera.
The project costs US$400 million and is targeted to complete construction in 2015.
Media earlier reported DSSA plans to acquire 94% shares of United Fiber System Limited (UFS), listed in stock exchange of Singapore (SGX), for a total consideration of S$1.88 billion through share swap mechanism.
After the acquisition, DSSA will sell or transfer shares of PT Golden Energy Mines Tbk (GEMS) to UFS at price of S$1.88 billion. Currently DSSA controls 66.99% GEMS shares.