JAKARTA (Yosefardi) – PT Semen Gresik, subsidiary of state cement maker PT Semen Indonesia Tbk (SMGR), has bagged non cash loan facility of Rp1.4 trillion from PT Bank Mandiri Tbk (BMRI) with tenor of 42 months.
The loan will be used to support the financing of cement mill construction in Rembang, Central Java, with capacity of 3 million tons per year.
While the national cement demand is predicted to grow by 6% to reach 63 million tons this year. The country’s cement producers targets national cement production capacity to reach 31.8 million tons this year and to reach 40 million tons by 2017.
SMGR also targets to operate its new cement mill, Indarung VI, this year with capacity of 3 million tons.
Meanwhile cement maker PT Indocement Tunggal Prakarsa Tbk (INTP) also plans to build new cement mill in Citeureup with capacity of 4.4 million tons, with investment cost of around Rp6.5 trillion.
INTP also plans to build 2 new cement mills in greenfields with capacity of 2.5 million tons each per year, located in Central Java and out of Java island.