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Synergy Between PTBA and RMKE for 2.5 Million Tons of Coal in 2023
Jakarta, December 16, 2022 - PT RMK Energy Tbk (RMKE), through its subsidiary PT Royaltama Mulia Kencana (RMUK), signed a memorandum of understanding with PT Bukit Asam Tbk (PTBA) for 2.5 million tons coal transportation, which expected to be increased up to by 1 million tons annually starting from 2023.
The RMKE Group or its affiliates will build and maintain hauling roads from PTBA mine, providing coal logistics services from the process of loading & unloading rail transport, stockpile services, loading barges to transshipment to the mother vessel.
PTBA President Director Arsal Ismail said, "This collaboration with RMKE is in line with PTBA's target to increase transportation capacity to accelerate the monetization of coal reserves."
Currently, PTBA is also working with PT KAI to develop the Tanjung Enim - Keramasan coal transport, expected to operate in the fourth quarter of 2024, with a capacity of 20 million tons per year. Also being developed coal transportation to Perajen Pier with 20 million tons transport capacity of per year that is planned to operate in the third quarter of 2026.
"PTBA strives to fulfill national energy security in the midst of global economic conditions that have not fully recovered after the pandemic and of world geopolitics. Therefore, the synergy between SOEs and collaboration with private sectors are required."
"RMKE logistics service solutions that are integrated with PT KAI's railroads will definitely improve operational and financial performance of PTBA significantly, as well as of RMKE and PT KAI," said Arsal.
According to RMKE President Director Tony Saputra, the collaboration of RMKE and PTBA will improve the synergy with PT KAI in implementing seamless coal transportation in South Sumatra. “With RMKE logistics service solutions that are integrated with PT KAI's railroads, PTBA can optimize its abundant coal resources, thus create mutual benefits for the three entities," he said.
"RMKE fully supports the new and renewable energy (NRE) business to support the government's net zero emission plan in 2060. However, the urgent need for energy security amidst global economic conditions that have not fully recovered after the pandemic and world geopolitics still increases the need for coal until NRE and fossil energy is balance and when the world economy has recovered fully. This is an opportunity for us to optimize the fulfillment of energy security.”
"The collaboration with PTBA is in line with the implementation of the company's medium-term strategy to be able to transport 20 million tons of coal and sell 5 million tons of coal annually to optimize the fulfillment of energy security as the current economic booster," said Tony.
According to RMKE Operational Director, William Saputra, collaboration and synergy with PTBA and PT KAI will accommodate RMKE to increase the volume of logistics services by up to 70% and coal sales to 2.5 times in 2026 when compared to this year’s target.
“Although the increase in coal prices is a catalyst for the current coal business, we realize that it will change soon and we have considered a correction to coal prices in the future. Therefore, RMKE continues to optimize volume increase to offset the price correction. With these strategy, RMKE management is optimistic to reach sustainable healthy financial condition with a commitment to providing quality and integrated coal logistics services,” said William.
The RMKE Group or its affiliates will build and maintain hauling roads from PTBA mine, providing coal logistics services from the process of loading & unloading rail transport, stockpile services, loading barges to transshipment to the mother vessel.
PTBA President Director Arsal Ismail said, "This collaboration with RMKE is in line with PTBA's target to increase transportation capacity to accelerate the monetization of coal reserves."
Currently, PTBA is also working with PT KAI to develop the Tanjung Enim - Keramasan coal transport, expected to operate in the fourth quarter of 2024, with a capacity of 20 million tons per year. Also being developed coal transportation to Perajen Pier with 20 million tons transport capacity of per year that is planned to operate in the third quarter of 2026.
"PTBA strives to fulfill national energy security in the midst of global economic conditions that have not fully recovered after the pandemic and of world geopolitics. Therefore, the synergy between SOEs and collaboration with private sectors are required."
"RMKE logistics service solutions that are integrated with PT KAI's railroads will definitely improve operational and financial performance of PTBA significantly, as well as of RMKE and PT KAI," said Arsal.
According to RMKE President Director Tony Saputra, the collaboration of RMKE and PTBA will improve the synergy with PT KAI in implementing seamless coal transportation in South Sumatra. “With RMKE logistics service solutions that are integrated with PT KAI's railroads, PTBA can optimize its abundant coal resources, thus create mutual benefits for the three entities," he said.
"RMKE fully supports the new and renewable energy (NRE) business to support the government's net zero emission plan in 2060. However, the urgent need for energy security amidst global economic conditions that have not fully recovered after the pandemic and world geopolitics still increases the need for coal until NRE and fossil energy is balance and when the world economy has recovered fully. This is an opportunity for us to optimize the fulfillment of energy security.”
"The collaboration with PTBA is in line with the implementation of the company's medium-term strategy to be able to transport 20 million tons of coal and sell 5 million tons of coal annually to optimize the fulfillment of energy security as the current economic booster," said Tony.
According to RMKE Operational Director, William Saputra, collaboration and synergy with PTBA and PT KAI will accommodate RMKE to increase the volume of logistics services by up to 70% and coal sales to 2.5 times in 2026 when compared to this year’s target.
“Although the increase in coal prices is a catalyst for the current coal business, we realize that it will change soon and we have considered a correction to coal prices in the future. Therefore, RMKE continues to optimize volume increase to offset the price correction. With these strategy, RMKE management is optimistic to reach sustainable healthy financial condition with a commitment to providing quality and integrated coal logistics services,” said William.
