Vale Indonesia Awards $1b Mining Services Contract to Petrosea
JAKARTA, Investortrust.id – PT Petrosea Tbk, or PTRO, a mining contractor controlled by Indonesian business tycoon Prajogo Pangestu, has secured a $1 billion mining services contract spanning a 10-year period from nickel miner PT Vale Indonesia Tbk, or INCO.
Vale Indonesia announced in an official statement to the Indonesia Stock Exchange (IDX) on Wednesday, January 15, 2025, that Petrosea would provide mining services at the Bahodopi Block 2 and 3 mining areas in Central Sulawesi. The contract signing is scheduled for March 2025.
“The scope of work includes overburden stripping, nickel ore mining and hauling, and infrastructure development related to mining services,” Vale Indonesia stated.
Petrosea recently signed a term sheet agreement for coal mining services with PT Niaga Jasa Dunia (NJD) and PT Bara Prima Mandiri (BPM), valued at IDR 4.03 trillion ($261 million).
Anto Broto, Corporate Secretary of Petrosea, confirmed that the agreement was finalized on November 5, 2024. “The scope of work assigned to the company includes overburden removal and coal excavation,” Broto noted.
BPM holds a production operation mining license (IUP OP) for the Barito Selatan region in Central Kalimantan, while NJD is authorized to operate the mining site.
The agreement spans from November 5, 2024, to December 31, 2032, with an estimated production of 135.46 million bank cubic meters (BCM) of overburden and 7.53 million tons of coal.
Petrosea, a key player in Indonesia’s mining services industry, reported a sharp decline in attributable net profit, falling from $10.57 million to $2.86 million as of the third quarter of 2024.
PTRO stock chart