<article>Indonesia’s <a style="color: #000080;" href="http://www.adaro.com/" target="_blank">PT Adaro Energy Tbk (ADRO)</a> has announced that it will take over <a style="color: #000080;" href="http://www.bhpbilliton.com/" target="_blank">BHP Billiton</a>’s 75 per cent interest in IndoMet Coal. The transaction is valued at $120 million (Rp 1.5 trillion).</article>

Indonesia’s <a style="color: #000080;" href="http://www.adaro.com/" target="_blank">PT Adaro Energy Tbk (ADRO)</a> has announced that it will take over <a style="color: #000080;" href="http://www.bhpbilliton.com/" target="_blank">BHP Billiton</a>’s 75 per cent interest in IndoMet Coal. The transaction is valued at $120 million (Rp 1.5 trillion).
IndoMet Coal comprises seven Coal Contracts of Work which are located in Central and Eastern Kalimantan, Indonesia. These mines are operated by PT Maruwai Coal, PT Juloi Coal, PT Kalteng Coal, PT Sumber Barito Coal, PT Lahai Coal, PT Ratal Coal, and PT Pari Coal.
The Haju mine, which is located within the Lahai Coal Contract of Work, has a production capacity of one million tonnes of coal per annum and has been in production since 2015.
Adaro management said the deal was reached on June 3, and was signed by subsidiaries PT Alam Tri Abadi, Coaltrade Services International Pte Ltd, as well as BHP Minerals Holdings Pty Ltd and BHP Minerals Asia Pacific Pty.
“Transaction will be effective once customary regulatory approvals are fulfilled, including, among others, the mandatory approval from the Indonesian government,” said the management in a statement today.
During the approval period BHP Billiton and Adaro will work together to facilitate a smooth transfer of ownership, the management added.
Meanwhile, James Palmer, IndoMet Coal Asset President said the project could support a larger scale development. However, he added, BHP Billiton has a range of other “growth options”.
“After a detailed review on IndoMet Coal, we concluded that other growth options in the portfolio are more attractive for future investment,” he said.
BHP last year slimmed down by spinning off unwanted assets into South32 Ltd. and said it would focus on investments in copper and petroleum, two markets the miner forecasts will rebound aided by strong Asian demand.
Going forward, BHP plans to add 4 million tonnes a year of production to its Caval Ridge coking coal mine in Queensland.
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Indonesia: BHP Billiton sells 75%  in IndoMet Coal to Adaro for $120m

Indonesia: BHP Billiton sells 75% in IndoMet Coal to Adaro for $120m

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Indonesia: BHP Billiton sells 75% in IndoMet Coal to Adaro for $120m

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