Ahad 30 Jun 2013 02:02 WIB

Semen Baturaja to acquire lands in three areas

Rep: Friska Yolandha/Mutia Ramadhani/ Red: Yeyen Rostiyani
Direktur Utama PT Semen Baturaja Tbk, Pamuji Raharjo (paling kiri) monitors activities during menyaksikan penawaran umum perdana saham PT Semen Baturaja modal. (illustration)
Foto: Republika/Aditya Pradana Putra
Direktur Utama PT Semen Baturaja Tbk, Pamuji Raharjo (paling kiri) monitors activities during menyaksikan penawaran umum perdana saham PT Semen Baturaja modal. (illustration)

REPUBLIKA.CO.ID, JAKARTA - A state-owned cement company, PT Semen Baturaja will acquire three areas of land in Sumatra to strengthen its reserves of raw materials. 

"We are currently negotiating the price with the owners. The first land is located in Jambi, while two others in South Sumatra," President Director of Semen Baturaja, Pamudji Rahardjo said on Saturday.

Acquisition of the land became part of the company's strategy to increase production in coming years. Currently, the maximum production capacity of the company is 1.25 million tons cement per year.

By the end of the year, Semen Baturaja targetted the production of 1.5 million tons. To encourage the achievement of these target, the company will build a new plant, Semen Baturaja II, with a capacity of 750 thousand tons cement per year. At least the project needs 350 billion IDR.