JAKARTA - PT Petrosea Tbk (PTRO), an integrated mining and EPC services company, reported the acquisition of the latest mining services contract with PT Singaraja Putra Tbk (SINI) worth US$511.45 million.

Based on the press release quoted today (3/4), the mining services agreement term sheet was signed by PTRO and PT Pasir Bara Prima, a subsidiary of HERE, on March 27, 2024.

The contract will cover overburden removal and coal production in the company's mining area in Kapuas, Central Kalimantan. "The estimated overburden is 240 million BCM and coal production is 26.4 million tons," continued Petrosea management.

This mining services agreement is said to last for the next 9 years, until 2032. "The signing of the term sheet of this agreement is a concrete manifestation of Petrosea's business expansion which is starting to expand into the Central Kalimantan area," said PTRO management.

In terms of performance, PTRO recorded an increase in revenue of 21.27% year-on-year (yoy) to US$577.62 million at the end of 2023. However, increasing expenses meant that its net profit fell by almost 70% yoy to only US$12.44 million from US$41.17 million in 2022.

In terms of share performance, after being officially acquired by Prajogo Pangestu through PT Petrindo Jaya Kreasi Tbk (CUAN) last February, Petrosea's share price tended to decline, reaching IDR 4,100 per share at the end of trading yesterday (2/4). However, until the end of the morning session of the Indonesian Stock Exchange today (3/4), PTRO showed an increase of around 7% to IDR 4,380 per share. (ZH/LM)