Press Release

One year since Minister for State-Owned Enterprises (BUMN) Erick Thohir leadership, PT Bukit Asam Tbk (PTBA) has shown positive performance and increasing strong synergy with other SOEs, as follows: 

Positive Financial Performance

PT Bukit Asam Tbk (PTBA) continues to record positive performance in the first semester of 2020 despite being affected by the Covid-19 pandemic and the decline in world coal prices. The company managed to book a net profit of IDR1.3 trillion in the first half of 2020. Meanwhile, in terms of revenue, PTBA recorded a net profit of IDR9 trillion by the middle of this year.

Efficiency was one of PTBA's strategies to maintain and record positive performance amidst price volatility and reduced demand for coal supply.

Some of the efficiency strategies that had been carried out by PTBA in the first half of 2020 were to continue to make efforts to reduce business costs and cost of production through the implementation of various mining cost optimizations such as cutting transport distances and reducing the stripping ratio.

Operational Performance

PTBA produced 12 million tons coal by June 2020 accompanied by the positive coal transportation performance. During the first semester of this year, coal transportation capacity was recorded at 11.7 million tons.

The company was able to maintain operational performance until the first semester of 2020 as a result of the continuous implementation of operational excellence and market expansion as the company's business strategy this year.

Coal Gasification

In line with President Joko Widodo's vision to accelerate the increase of coal added value, PT Bukit Asam Tbk (PTBA) continues to prove and carry out its commitment as a pioneer in developing coal downstream business in Indonesia.

PTBA's commitment is shown in the commitment to build a downstream coal to dymethyl ether (DME) plant located in Tanjung Enim, South Sumatra.

The coal downstream plant will process 6 million tons of coal per year to be converted into 1.4 million tons of DME which can be used as an alternative fuel to replace LPG.

The presence of DME as an alternative fuel can help reduce LPG imports and save foreign exchange. Based on the calculation of the Coordinating Ministry for Maritime Affairs and Investment, the country's potential savings could reach IDR8.7 trillion.

The downstream project construction preparation is planned to start in mid-2021 and target operations in 2025. This downstream project has also been approved by President Joko Widodo as part of the National Strategic Program as stipulated in Presidential Regulation No. 18/2020.

1. PTBA and Pelindo II to Optimize Coal Transportation

To achieve the goal of developing South Sumatra economic corridor as a national energy storehouse, on Friday, September 11, 2020 PT Bukit Asam Tbk (PTBA) signed a Head of Agreement (HoA/master agreement) with PT Pelabuhan Indonesia II (Persero) to develop the transporting coal capacity and/or other commodities through rivers and ports in South Sumatra.

This collaboration is expected to achieve coal transportation increase to 20 million tons, as well as other commodities, including coal downstream products.

Solar Power Plants (PLTS) Projects Series

PT Bukit Asam Tbk (PTBA) has a vision to become a world-class energy company that cares about the environment. In line with this vision, the company also has the tagline "Beyond Coal" by diversifying its business and downstreaming the coal industry.

One of PTBA’s business diversifications is the development of a new and renewable energy sector, which is also the government's focus in providing more environmentally friendly energy for Indonesian people.

Taking part in the Solar Power Plant development roadmap, PTBA develop several Solar Power Plants projects as follow:

Solar Power Plant Development CSR Project

1.   Pesawaran Irrigation Solar Power Plants, Lampung (Operating in October 2020)

This Irrigation Pump assistance provided by PTBA is located in Trimulyo Village, Tegineneng District, Pesawaran Regency, Lampung Province and will operate this year.

The pump used is a submersible pump with a capacity of 50 lps (liter per second) with a head of 10 meters. The assistance provided consists of 1 unit of Submersible Pump, 1 unit of inverter, 1 unit of intake tub of 3x3 meters and 6 meters depth.

This irrigation pump will be supplied with electricity from Solar Power Plant with a capacity of 38,500 watts which is operated via a 4x4 meter control panel housing, 140 solar panels, and 50 meter long piping.

The irrigation pump’s electricity need in Trimulyo Village is only 25,000 watts, while the electricity generated by the pump is 35,000 watts. The land area that will be irrigated is 167 hectares and the distance from the lake to the land is approximately 1 kilometer.

This project is a collaboration with the Lampung Provincial Government. The chilli farmers currently still rely on diesel pumps during the dry season. Meanwhile in the rainy season, they will use the land to plant rice.

2.   Talawi Irrigation Solar Power Plant, Sawahlunto (Operating since 2019)

Support for Solar Irrigation Pumps in Talawi Mudik Village, Sawahlunto City. This pump has been operating since 2019 and has a capacity of 50 lps (liters per second) with a head of 50 meters.

Electricity for the irrigation pump with 11 kW power will be supplied by Talawi Solar Power Plant with a capacity of 16.5 kW which is operated through 1 unit control panel house, 142 pieces of solar panels, and 1.2 km of piping.

The ​​land area that has been irrigated is 62 hectares with yields reaching 1,000 tons per year from 3 harvests; previously only 248 tonnes per year.

The number of beneficiaries is 460 people consisting of 115 farmers and 345 family members from each farmer.

Maintenance involves working with the residents. Each farmer will contribute 1 kg of rice at each harvest.

3.   Tanjung Raja Irrigation Solar Power Plant (Target Operating in 2020)

Solar Irrigation Pump Assistance in Tanjung Raja Village, Muara Enim District, Muara Enim Regency will operate this year.

This 11 kW irrigation pump will be powered by a Solar Power Plant with a capacity of 18.7 kW which uses 140 solar panels.

63 hectares of land will be irrigated with an estimated yield of 3 times a year reaching 567 tons and the number of beneficiaries is 90 farmers.

For information, prior to this assistance, harvesting could only be done once per year with a yield of around 189 tonnes.

4.   Solar Power Plant assistance for Az-Zawiyah Foundation (Target Operating in 2020)

Az-Zawiyah Foundation is located in Tanjung Batu Village, Ogan Ilir Regency, providing free education to its students.

The majority of students who attend the foundation come from underprivileged families.

The electricity produced by Solar Power Plant is 6 kWp or equivalent to 6,849 watts. The electricity required by the Foundation is around 5,520 watts.

Construction of Sports Hall & Public Facilities in South Sumatra with Value of IDR128 Billion

PT Bukit Asam Tbk (PTBA) has allocated IDR128 billion funds to build new sports buildings, to repair the Jakabaring Sport City venue, and to support other public facilities and official vehicles in South Sumatra Province.

Supported and signed by the Governor of South Sumatra, Herman Deru, this fund allocation is included in PTBA's Corporate Social Responsibility (CSR) program. This Cooperation Program started in 2019 and will be complete in 2021.

There are 11 new stadiums or sports buildings with project values ​​ranging from IDR4 billion to IDR10 billion each.

The sports buildings are located in various districts or cities in South Sumatra; that is, Empat Lawang Regency, Pagar Alam City, East OKU Regency, Prabumulih City, Ogan Ilir Regency, Musi Rawas Regency and others.