Semen Baturaja expects higher 3Q output and sales

PT Semen Baturaja anticipates third-quarter 2013 production and sales to rise by 14 and seven per cent YoY, respectively, but full-year sales are expected to fall short of an earlier target.

The company’s corporate secretary, Zulkifri Subli, told local press that the company expects output to increase to 337,429t from a year earlier and dispatches to rise to 321,235t.

However, full year sales are forecast to reach 1.37Mt, down from an earlier target of 1.5Mt due to slower sales in the first eight months of this year.

The company is currently planning a new cement plant in South Sumatra, which last week it said would see additional costs as the weaker rupiah has raised the cost of imported equipment. The new  plant is scheduled to begin operations in the fourth quarter of 2016 and will increase the company’s capacity from 2Mta to 3.85Mta.