After Shares Surge 23.53%, BNBR Clarifies Latest on Bakrie Power's Waste-to-Energy Project

PT Bakrie & Brothers Tbk (BNBR) has finally spoken out regarding the involvement of its subsidiary, PT Bakrie Power, in a Waste-to-Energy (PSEL) power plant development project with the Danantara Investment Management Agency (BPI Danantara). In a response letter to the Indonesia Stock Exchange (IDX) dated 20 July 2026, the company confirmed that Bakrie Power, through the Mentari Citra Lestari Consortium, has been appointed as the preferred partner for the Phase II PSEL project development. However, the appointment is not yet final as several conditions set by Danantara must still be met. “PT Bakrie Power (Mentari Citra Lestari Consortium) as the preferred partner will be designated as the business partner for the development and management of the PSEL after the requirements in the conditional letter of award are fully satisfied,” BNBR management wrote in the information disclosure. The company explained that this status was the reason BNBR had not yet submitted a public information disclosure, as Bakrie Power’s position could still be replaced by a reserve partner if the conditions are not met. BNBR also revealed its reasons for participating in the PSEL project tender. The company views the waste-to-energy business as a diversification opportunity with long-term prospects, in line with global trends towards energy transition and a circular economy. Furthermore, the project is considered closely related to Bakrie Power’s experience in building power plants for the business-to-business (B2B) market. In this project, Bakrie Power is part of the Mentari Citra Lestari Consortium alongside PT Acritas Karya Persada and SUS Indonesia Holding Limited. Acritas reportedly has experience building similar projects in Surabaya, whilst SUS Indonesia will act as the technology provider with implementation experience in various countries. Despite being selected as the preferred partner, BNBR stated it cannot yet disclose the investment value or whether it exceeds 20% of the company’s equity, as the project is still in the feasibility study phase. The company also cannot yet convey the profit-sharing scheme with Danantara, as these provisions will only be discussed during the Sponsor Agreement negotiation process after the feasibility study is completed. Regarding business prospects, BNBR stated that the construction schedule, commercial operation date (COD), and estimated project contribution to revenue and net profit cannot yet be determined, pending completion of the feasibility study and the establishment of a joint venture.