Wednesday, May 29, 2024

Merdeka Battery Materials secures funding for infrastructure development

Reading Time: < 1 minute
Journalist IBP

Journalist

Editor

Interview

PT Merdeka Battery Materials (MBMA) has secured a fresh fund of US$ 490 million through a loan facility. The funds, which will be allocated to its subsidiary ESG New Energy Material, are sourced from Bangkok Bank Public Company Limited, Bank Mandiri, and Bank BNI.

MBMA, established in 2019, is a subsidiary of Merdeka Copper Gold, an Indonesian gold, silver, copper and other minerals producer. The company focuses on nickel mining industry as a raw material for electric vehicle (EV) battery production. The mining locations are situated in provinces of Central Sulawesi and Southeast Sulawesi.

In addition to mining, the company also operates a Rotary Kiln Electric Furnace (RKEF) smelter unit, AIM (Acid, Iron, Metal) processing facilities, and an ongoing High-Pressure Acid Leach (HPAL) plant project.

The loan will be utilized for various purposes, including design, engineering, construction, operation, ownership of the MHP plant, and equity participation in the Feed Preparation Plant (FPP) company.

The loan incurs interest based on the Secured Overnight Financing Rate (SOFR) forward rate. The loan duration is 84 months or 7 years, with collateral secured against several assets owned by ESG, including mortgages, pledge of accounts, chattel mortgages, plant facilities, and receivables.

The loan agreement aims to support project funding, including capital expenditure, construction, procurement, production, completion, testing, commissioning, and factory permit acquisition. It is expected that this funding will enhance the company’s performance and positively impact shareholders.

Journalist IBP

Journalist

 

Editor

 

Interview

SUBSCRIBE NOW
We will provide you with an invoice for your reimbursable expenses.

Free

New to Indonesian market? Read our free articles before subscribing to the premium plan. If you already run your business in Indonesia, make sure to subscribe to the premium subscription so you won’t miss any intelligence & business opportunities.

Premium

$550 USD/Year

or

$45 USD/Month

Cancelation: you can cancel your subscription at any time, by sending us an email inquiry@ibp-media.com

Add keywords to your market watch and receive notification:
Schedule a free consultation with us:

We’ll contact you for confirmation.

FURTHER READING

PT Medco Energi Internasional has announced the divestment of its stake in the oil and gas field Area 47 in Libya to the Libya National Oil Corporation (NOC).
Indonesia has harnessed less than 1 percent of its solar energy potential, lagging significantly behind neighboring countries as fossil fuels continue to dominate
CNGR, a major Chinese company in the nickel processing industry and a key supplier of battery components for US electric car producer Tesla, is aggressively increasing its investments in Indonesia.
PT Freeport Indonesia (PTFI) President Director Tony Wenas has confirmed that the copper smelter in the Java Integrated Industrial Port Estate (JIIPE) area in Gresik, East Java, is on track to start operations by June 2024.
Jakarta, May 27, 2024 − PT Perusahaan Gas Negara (PGN), a gas subholding of State energy company PT Pertamina, has paid off the remaining bonds worth US$396,709,000 in accordance to the maturity date as part of the repayment of the overall bond value of US$1.35 billion issued in 2014 and listed on the Singapore Exchange.
Coordinating Minister for the Economy, Airlangga Hartarto, met with Daisuke Arakawa, a senior executive at Nikkei Inc, in Tokyo on Friday, outlining the Indonesian government’s commitment to energy transition through collaboration with Japan. One key area of cooperation is investment in electric vehicles (EVs).