JAKARTA. PT Malinau Hijau Nusantara (MHL), a subsidiary of PT Mitrabara Adiperdana Tbk (MBAP), has signed a loan facility agreement worth a total of USD 51.2 million with PT Bank OCBC NISP Tbk (NISP).

The facility consists of loan with a limit of USD 49.75 million and a facility of derivative financial transactions, including foreign exchange (FX), worth a maximum of USD 1.5 million.

According to the information disclosure quoted today (27/12), as a parent entity, MBAP is said to grant a corporate guarantee for this facility.

“MHL is a company owned by MBAP through PT Mitra Malinau Energi (MME), with stock ownership of 99.99%,” said Chandra Lautan, Corporate Secretary of MBAP, in the official disclosure in Indonesia Stock Exchange (IDX).

MHL will utilise this facility to purchase machine and tools from vendors in relation to its plan to build wood pellet production facility in Malinau, North Kalimantan.

“This action aligns with MBAP’s diversification plan,” added Lautan. MBAP is known as an energy company, which now has been expanding its business to supplying new and renewable energy. (ZH)