Indonesia’s Duta Graha Plans Expansion Into Coal, Gold Mining 2009-05-26 09:03:28.784 GMT By Berni Moestafa May 26 (Bloomberg) -- PT Duta Graha Indah, builder of Indonesia’s stock exchange tower, plans to enter the coal and gold mining business to tap growing local demand for energy and on expectation the price of the precious metal will rise. Duta Graha may also seek contracts for mining-related engineering, procurement and construction services, Corporate Secretary Djohan Halim said today in an interview. The Jakarta- based company is looking for mining opportunities on Sumatra island and on the Indonesian side of the Borneo island, he said. Rising energy consumption and infrastructure spending is prompting Duta Graha to tap new revenue sources in Indonesia, which plans to add 10,000 megawatts of coal-fired power capacity by 2010. The government increased its infrastructure budget 13 percent this year to stimulate the economy, which expanded 4.4 percent in the first quarter, the fastest in Southeast Asia. "There are opportunities in the current economic conditions," Halim said, declining to name investment targets. Gold for immediate delivery has risen almost 10 percent to $957.35 an ounce this year. Duta Graha will consider funding options as and when prospects arise, Halim said. About 70 percent of the company’s revenue comes from government projects, he said. Duta Graha shares jumped 12 percent to 92 rupiah as of 2:56 p.m. on the Jakarta stock exchange. The Jakarta Composite index fell 1.6 percent.
