RFTL acquires 60 pc interest in two Indonesian coal cos

MUMBAI: Rohit Ferro Tech Limited (RFTL), today said it has signed an MoU with PSP Group (PT Pacific Samudra Perkasa) to acquire a 60 per cent economic interest in two coal mining companies in Indonesia.

This is being done through its subsidiary in Singapore, SKP Overseas Pte (SKP), a release said here today.

RFTL is also in the process of floating a mining services company in Indonesia which will hold a long-term mining contractor agreement with two mining companies-- PT Palopo Indah Raya and PT Bara Prima Mandiri.

Both the companies have mining concessions along with exploration, exploitation, marketing and transportation licenses.

RFTL will own 95 per cent of this mining services company.

Besides meeting RFTL's current coking coal requirements and future requirements of thermal coal, the output of these mines will also be used for external sales.

Ernst & Young and Bahar & Partners, Jakarta, acted as advisor for this transaction.