Until August 2017, TINS Realizes Capital Expenditure of Rp 920 Billion
By : Abraham Sihombing And Aldo Bella Putra | Friday, August 25 2017 - 21:00 IWST
INDUSTRY.co.id - Jakarta - PT Timah Tbk (TINS), a state-owned tin producer and BEI issuer, until August 2017 has realized capital expenditure (capital expenditure / capex) of Rp920 billion. That only reached about Rp40% of total allocation of TINS capex in 2017 which reached Rp2, 3 trillion.
"The TINS capital expenditure budget this year will be used to purchase the Suction Hull (KIP) for additional fleets to support the company's production activities. In addition, TINS will also use the budget to finance the capacity increase of the company's smelter," said Emil Ermindra, TINS Finance Director, in Jakarta, Friday (25/08/2017).
Emil pointed out that part of the Rp920 billion from the capital expenditure budget of TINS is used to pay for KIP procurement and partly to pay for the first phase of the smelter capacity.
Indeed, so far, so Emil, TINS management using capital expenditure budget to finance exploration activities, which are looking for new tin mining resources and improve production facilities.
In 2017, the total capital expenditure budget allocated TINS reached Rp2, 6 trillion. The budget of Rp2.3 trillion will be used to finance the company's consumption and the remaining Rp300 billion will be used as a capital expenditure fund for TINS subsidiaries.
TINS capital expenditure funds come from internal funds and external financing sources. One of the external sources of financing run by the company is the issuance of bonds. (Abraham Sihombing)