Poor Investment on Oil & Gas
The Government of Indonesia have offered 14 oil and gas blocks in the first half of 2016, but it attracted no investment appetite. I Gusti Nyoman Wiratmaja Puja, the director general for oil and gas from the Ministry of Energy and Minerals Resources (ESDM), said that the Government has revised the existing regulation believed to be a major factor undermining investment appetite in the oil and gas sector.
The Troubles of Dwi Aneka Jaya Kemasindo
In May 2014, PT Dwi Aneka Jaya Kemasindo (DAJK) Tbk offered shares in the initial public offering (IPO) at Rp470 per share to raise Rp470 billion from public investors. PT Valbury Asia Securities as underwriter set the IPO price at upper range claiming ‘strong interest’ from investors. Today, the stock is traded at Rp68 only. What a mess for those participating in the IPO.
IPO to Watch: Margahayu Land
PT Margahayu Land Development (MLD) is one of the largest property developers based in Bandung, the capital city of West Java province. Claiming more than four decades in the business, the group plans an initial public offering (IPO) later next year or early 2018. Who’s behind the Company?
Toll Road Projects Update
Commercial operation of four toll roads will be behind schedule this year due to uncertainties surrounding land acquisition funding early this year. Construction of other toll roads, however, have been significantly faster in the past two months, including four toll roads developed by Hutama Karya in Sumatra Island and those in the trans-Java project.
Tommy Soeharto & Tax Amnesty
Tommy Soeharto, youngest son of the late president Soeharto, is among big taxpayers participating in the tax amnesty program. Tommy made public his participation in the program last week saying he would repatriate most of his offshore funds and assets. The question, of course, what would Tommy do with the repatriated funds?
Infrastructure Journal
State-owned PT Perusahaan Listrik Negara (PLN) has signed power purchase agreement (PPA) for wind farm built with up to US$150 million of investment by Denmark company in Jeneponto, South Sulawesi province. In this edition, we update LRT projects in Palembang (South Sumatra) and Greater Jakarta as well.
Q&A with HK Realtindo
PT HK Realtindo, subsidiary of state-owned EPC firm PT Hutama Karya, is one of subsidiaries of SOEs prepared for an initial public offering (IPO) next year. We interviewed Koentjoro, the newly appointed chef executive officer of HK Realtindo about the IPO and other plans.
Chemical Industry Investments Update
Indonesia imported US$682.5 million worth of plastics and articles from plastics last month, jumped 49% from July. In the first eight months of 2016, Indonesia imported US$4.57 billion worth of plastics, stable from the corresponding period of 2015. This has triggered Chandra Asri Petrochemical (TPIA) to expand its polyethylene (PE) resin capacity.
Oil & Gas Journal
Nymex’s crude oil price declined 0.2% to US$44.42 per barrel in Asian trading this morning. Bloomberg reported oil speculators were headed for the sidelines as OPEC members prepared to discuss freezing output in the face of signs that the supply glut would linger. Oil prices overall are predicted to remain volatile leading up to OPEC’s unofficial meeting later this month.
Bosowa & Tanjung Buton Port Estate
Leaders of Bosowa Group, owned by the family of Aksa Mahmud—-brother in law of Vice President Jusuf Kalla, met industry affairs minister Airlangga Hartarto in Jakarta yesterday. They discussed the group’s plan to develop the so-called Tanjung Buton Port Estate in Siak Regency, Riau province.