Bukit Asam Targets Gold Mining Services

PT Bukit Asam (PTBA IJ, BUY, TP: IDR14,400) through its subsidiary PT Bukit Multi Investama is planning to acquire a gold mining service company before the end of this year. The company is still in due diligence process. This action is believed to add more value and synergy to Bukit Asam, but no details regarding acquisition value is mentioned. Currently, the company is going to form a joint venture with PT Indonesia Asahan Aluminium (Inalum) to build 3×350 MW coal-fired power plants. In 2015, the company allocates IDR2.5trn of capex for expansion and investment in Independent Power Producer (IPP).