This year’s exodus for Lebaran holidays highlighted the growing travel by cars, thanks to completion of most sections of trans-Java and some sections in trans-Sumatra toll roads. This, however, has led to growing consumption of gasoline, which, unfortunately, is not fully sourced from domestic oil and gas production. Huge import of fuel ahead of this year’s Ramadhan cost the country’s trade balance dearly. Imagine if all toll roads being built in Java, Sumatra, Kalimantan, and Sulawesi are completed.

PT Chandra Asri Petrochemical Tbk (TPIA), the largest petrochemical company in Indonesia, continued to report a drop in both revenues and profits for the first quarter (Q1) of 2019. In 2018, its net profit crashed 43% while sales revenues fell 6.4%.

The Energy & Mineral Resources Ministry (ESDM) improves its control and monitoring over the smelter projects, to boost the value added of mineral mining in the country. The Government is set to impose sanctions, also to revoke the recommendation of mineral export, to companies that fail to build smelter within schedule.

The property market is expected to resume its activity though in gradual following the victory of incumbent Joko “Jokowi” Widodo in the April 17 presidential election. Although opposition leader Prabowo Subianto sued the results announced by the General Election Commission (KPU) on May 21 at the Constitutional Court, we assess that Jokowi now possesses a strong mandate to follow through on his main campaign pledge of continuing to develop and complete massive new infrastructure projects.

Minister of Industry Airlangga Hartarto is in Japan this week to promote investments in the manufacturing industry. Airlangga, who is also chairman of Golkar Party, met leaders of Sojitz and Nippon Steel to discuss their respective expansion projects in Indonesia. Sojitz, in the meeting, reiterated its intention to build new methanol plant in Indonesia.

Oil gas firm Medco Energi Internasional (MEDC) has completed the acquisition of Ophir Energy Plc in a recommended all-cash offer value of £408.4 million. This acquisition is considered to be a good step because the Company will obtain a portfolio of assets that complement each other, increase scale, diversify, and provide growth that is beneficial to stakeholders.

Energy firm Barito Pacific (BRPT) allocates capital expenditure (capex) of US$560 million for 2019, used to fund its expansion of petrochemical (US$460 million) and energy (US$80 million). The Company target to complete the construction of a new factory, producing polypropylene, this year which has a production capacity of 400,000 tons per annum. 

Coal miner Indo Tambangraya Megah (ITMG) reported a 32.7% drop in net profit for the first quarter (Q1) of 2019 period, due to growing costs of revenues. It booked a net profit of US$38.9 million in the said period, compared to US$58 million a previous year.

Thailand’s largest industrial conglomerate Siam Cement Group Pcl (SCG) acquired a 55% stake in Indonesian paper packaging company, PT Fajar Surya Wisesa Tbk (FASW) from existing shareholders for $665 million, equivalent Rp9.6 trillion. “The major shareholding in Fajar...