Coal Operator Singaraja Putra Secures $3.26 Billion Mining Services Deal with Petrosea

JAKARTA, Investortrust.id — Coal miner PT Singaraja Putra Tbk (SINI) has secured a long-term mining services agreement valued at an estimated $3.26 billion (Rp 57.05 trillion) through two of its subsidiaries with contractor PT Petrosea Tbk (PTRO).

The deal, signed on July 23, 2026, tasks Petrosea with overburden removal and coal extraction at mining concessions located in Central Kalimantan province. The agreement spans the entire life of the mine, reinforcing long-term operational visibility for both entities as thermal coal demand persists across Asian power markets.

The massive commitment highlights the expanding footprint of consolidated mining groups in Indonesia, Southeast Asia’s largest economy and a global leader in coal exports. By securing life-of-mine contractor support, resource owners are moving to lock in long-term operational efficiency and safeguard production targets against volatile equipment and labor markets.

Under the terms disclosed to the Indonesia Stock Exchange (IDX) on Thursday, July 23, 2026, Singaraja subsidiary PT Pesona Bara Cakrawala (PBC) targets the production of 42 million metric tons (46.3 million short tons) of GAR 4200 coal. The work requires stripping 189 million bank cubic meters (247 million cubic yards) of overburden, generating an estimated contract value of $2.604 billion (Rp 45.57 trillion).

Concurrently, a second unit, PT Cakrawala Bara Persada (CBP), is projected to produce 8 million metric tons (8.8 million short tons) of higher-grade GAR 5000 coal through the removal of 40 million bank cubic meters (52.3 million cubic yards) of overburden. That contract segment carries an estimated value of $656 million (Rp 11.48 trillion).

"With this, the total estimated contract value from both agreements reaches approximately $3.26 billion, or equivalent to Rp 57.05 trillion throughout the life of the mine," Singaraja management said in an official filing on Thursday.

The company noted that the long-term contracts are expected to ensure the realization of coal output targets, directly bolstering future revenue and financial performance.

The deal also underscores the close-knit structure of Indonesian corporate ownership. The transaction involves related parties: PBC and CBP are indirectly controlled subsidiaries of Singaraja, while Indonesian tycoon Happy Hapsoro serves as an indirect controlling shareholder in both Singaraja and Petrosea.

Despite these overlapping ownership ties, Singaraja confirmed in its exchange filing that the transaction does not require formal shareholder approval for affiliated or conflict-of-interest transactions. The company cited regulatory exemptions for routine, recurring operational activities essential to generating core business revenue.