PT RMK Energy Tbk (RMKE) has prepared a number of strategies to improve operational performance. The issuer, which is engaged in the sales and supply of coal logistics services, has the ambition to pursue the target of coal service volume of 20 million tons per year and coal sales volume of 5 million tons per year.

To support this target, RMKE started ahauling road infrastructure project. In total, there are 2 roads planned to be built in this agenda.

"The two roads take a total investment of up to IDR 350 billion," RMKE Finance Director Vincent Saputra told Kontan.co.id (30/10).

From this project, one of them will have a length of 20-25 kilometers (km) and be integrated with Gunung Megang Station to open access to potential coal mines in Enim, South Sumatra.

The road has started and is scheduled to be completed by the end of 2022.

"With this integrated infrastructure, RMKE can accelerate the achievement of coal service volume and coal sales volume by 20 million tons per year and 5 million tons per year, respectively," said Vincent.

The second road to be built will have a length of 40 km. "(Construction of the second road project) will only begin next year," Vincent added.

The source of funding for RMKE'shauling roadinfrastructure project is planned to rely on internal cash, supported by the company's profit achievements last year and this year.

A little information, citing the company's financial statements, RMKE posted a net profit for the year attributable to owners of the parent entity of IDR 199.28 billion in 2021.

What is clear is that RMKE is eyeing an increase in performance volume with a sales volume target of 2.26 million tons in the coal sales segment and a transportation volume target of 7.82 million tons in 2022.

As a comparison, looking at the company's Annual Report, RMKE realized a coal transportation volume of 5.96 million tons in the service segment and posted sales of 1.63 million tons of coal in 2021.

During January-September 2022, RMKE has transported 5.46 million tons of coal, an increase of 21.08% compared to the same period last year. This amount is equivalent to 69.78% of this year's target.

In terms of the coal sales segment, RMKE has sold 1.62 million tons during January-September 2022, an increase of 38.36% compared to the realization of the same period in 2021. That way, the realization of RMKE's sales volume has reached 71.68% of this year's target.

Image source: Dok/RKME

Source: https://industri.kontan.co.id/news/rmk-energy-rmke-anggarkan-dana-rp-350-miliar-untuk-bangun-hauling-road