PT Indocement factory to go online in 3Q16

PT Indocement Tunggal Prakarsa's new cement factory in Citeureup, West Java, is expected to be operable by the third quarter of 2016, with investment of IDR6.5trn (US$491m).

Indocement, part of the HeidelbergCement Group, has allotted IDR2.3trn from internal cash for its 2016 capital expenditure (capex) to finalise the construction of its new plant. The company will also use further capex for maintenance activities.

Meanwhile, Indocement subsidiaries Bahana Indonor and Indomix Perkasa have acquired stakes in marine transport services firm Lintas Bahana Abadi. The acquisition is expected to support Indocement's business activities, particularly in the marine transport segment.

“Bangun Sukses Niagatama Nusantara will divest its shares in Lintas Bahana Abadi to Bahana Indonor and Indomix Perkasa for IDR28bn. The acquisition is fully funded from the two subsidiaries' internal cash,” said Christian Kartawijaya, Indocement's president director.