Bakrie gets $21.7m loan

Bakrie gets $21.7m loan

JAKARTA (JP): PT Fajar Bumi Sakti, a coal mining company
controlled by the Bakrie family through PT Bakrie Investindo,
secured a US$21.7 million syndicated loan from eight foreign and
domestic commercial banks yesterday.

Indra Hasbar, Fajar Bumi Sakti's director, said after signing
an agreement on the loan here that it will be used to finance the
expansion of the company's annual production capacity to 750,000
tons from 180,000 tons at present.

"We aim to gain $85 million from exports of our products in
the first five years of operation," he said, adding that the mine
is estimated to produce coal within 15 years.

Bakrie acquired Fajar Bumi Sakti, which controls 1,000
hectares of a mining area in East Kalimantan, in 1992.

The loan was arranged by Bank Nusa International -- also owned
by Bakrie -- the American Express Bank Ltd., ANZ Panin Bank, Bank
Bira, Bank Dharmala, Panin Bank, IBJ Indonesia Bank and Saehab
Merchant Bank of South Korea. (hdj)