JAKARTA - PT Biomass Lestari Nusantara (BLN) will establish a wood pellet manufacturing factory to supply biomass fuel. This joint venture has a capital of IDR 90 billion or the equivalent of US$ 6 million.

In a press release quoted on Friday (28/4), Paulina Suryanti, Corporate Secretary of PT Dharma Satya Nusantara Tbk (DSNG) conveyed that BLN, a joint venture between PT Dharma Energi Investama (DEI) and PT Sumitomo Forestry Indonesia (SFI), a subsidiary of Sumitomo Forestry Co Ltd.

BLN is a foreign investment company (PMA) with an ownership structure of 51% DEI and 49% SFI. DSNG and SFI have no affiliation relationship.

The exact location of the pellet manufacturing factory that BLN will set up has not yet been stated. DNSG, DEI's holding company, is a palm oil company and processed wood producer. This company has a land area of ​​112.5 thousand hectares (Ha) and 12 palm oil mills with a total capacity of 675 tons per hour. For the timber business segment, the company operates two processing plants in Central Java with a production capacity of 150,000 m2 engineered flooring and 12,0003 panels. (LK/LM)