Jakarta Post

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post
The Jakarta Post
Video Weather icon 30°C
DKI Jakarta, Indonesia
30°C Partly Cloudy

Dry and mostly cloudy throughout the day.

  • Wed

    26℃ - 32℃

  • Thu

    25℃ - 32℃

  • Fri

    25℃ - 31℃

  • Sat

    26℃ - 30℃

Adaro Energy expands logistics business

  • Anton Hermansyah
    Anton Hermansyah

    The Jakarta Post

Jakarta | Wed, August 9, 2017 | 01:26 pm
Adaro Energy expands logistics business Adaro Energy corporate secretary Mahardika Putranto (left), finance director David Tendian (center) and spokesperson Febriati Nadira speak to journalists at a public expose at the Indonesia Stock Exchange (IDX) in Jakarta on Aug. 8. (JP/Anton Hermansyah)

Coal miner PT Adaro Energy is currently diversifying its logistics business beyond transporting coal as it plans to transport other commodities, such as natural gas, in an effort to stabilize its businesses.

Adaro recorded that 97.96 percent of its revenue in the first quarter came from sales from coal and mining services, said Adaro finance director David Tendian in Jakarta on Tuesday.

He said the company currently planned to earn similar amounts of revenue from its three main business arms: coal, logistics and electricity.

"The logistics business can be a balancer when the revenue from coal drops," David said during a public expose at the Indonesia Stock Exchange (IDX) in Jakarta on Tuesday.

“During the weak coal business period between 2012 and 2016, our logistics revenues contributed 50 percent to our revenue,” he said, adding that the energy business, however, was still being developed.

Read also: Adaro to diversify business in long term

Adaro has two electricity plant projects -- 2x1,000 megawatt (MW) power plant Bhimasena Power in Central Java and 2x1,000 MW plant Tanjung Power in South Kalimantan -- with investments of $4.2 billion and $545 billion, respectively.

As of July, the construction progress of Bhimasena reached 27 percent, while the construction of Tanjung reached 67 percent. "We are actively seeking opportunities in the electricity sector, not only coal-based but also gas-based and renewable resources," David said. (bbn)

Join the discussions