JAKARTA (Yosefardi) – PT Krakatau Semen Indonesia, a joint venture company of state steel producer PT Krakatau Steel Tbk (KRAS) and cement maker PT Semen Indonesia Tbk (SMGR), is seeking loan of Rp308 billion for funding its slag powder plant.
SMGR and KRAS spend Rp440 billion on the joint venture company. The construction of the plant will start early next year and is targeted to commence operation in early 2016. The slag will be used by cement maker.
Meanwhile, PT Semen Indonesia Tbk (SMGR) also plans to build grinding plant in Ciwandan, Cilegon, Banten next year with investment cost of Rp700 billion. The company allocates capital expenditure (capex) of Rp4-5 trillion for next year.
While KRAS also plans to build new hot strip mill in second quarter of 2014 which will cost Rp3.6 trillion.