JAKARTA - PT Adaro Tirta Mandiri (ATM), a subsidiary of PT Adaro Energy Indonesia Tbk (ADRO) has agreed to provide a collateral maximum of IDR 171.50 billion for the PT Dumai Tirta Persada (DTP) loan facility worth IDR 325 billion. The facility will expire 16 years after the credit agreement last week (14/6).

In the disclosure of information quoted on Monday (19/6), the collateral provided by the ATM include, among other things, a letter of undertaking in the form of financial support for DTP requirements of a maximum of IDR 159.25 billion and pledge of shares owned by ATM in DTP of 12,250 sheets worth nominal value of IDR 12.25 billion. The value of the collateral refers to its 49% stake in DTP.

DPT, a joint venture in the field of water treatment and clean water distribution, with 49% ownership of ADRO and 51% ownership of PT Adhi Karya (Persero) Tbk (ADHI) in 2019. This company DPT and PDAM Tirta Dumai Bersemai made an agreement to build, operate and fund Drinking Water Supply System (SPAM) in Dumai for 25 years since it was operational. This SPAM has a capacity of 250 liters per second (lpd) until 2022.

This facility is to fund industrial and household water supply projects with a capacity of 50 liters per second (lpd) in the City of Dumai and West Dumai, in the Lubuk Gawung industrial area with a capacity of 200 lpd, residential areas in Dumai Kota, Dumai West, Dumai Selatan and Dumai Timur up to 200 lpd. (LK/LM)