JAKARTA. PT ABM Investama Tbk (ABMM) allocates USD 200 million as its capital expenditure this year. This budget is designed to acquire heavy equipment and other operational supporting tools.
Adrian Erlangga, Director of ABM Investama, claimed that the heavy equipment is critical for coal mining industry as the demands for this particular commodity continues to peak following the geopolitical conflict in Europe, which affect the stock of energy sources.
In the meantime, the decreases in gas distribution from Russia and coal supply from Ukraine to other European countries have prompted them to seek coal supply from alternative coal manufacturing countries. Therefore, it drives the coal price upwards and urges higher coal mining activities to meet those demands, which subsequently leads to heavy equipment shortages.
In a public expose yesterday (11/5), Erlangga also claimed that his company relies heavily on the stock of heavy equipment in order to continue performing. Thus, stocking up heavy equipment is expected to support its operational activities, including the mining contractor service.(AM/ZH)