MARKET DEVELOPMENT
Astra Agro to Spend $24m for Two Palm Oil Plants
Astra Agro to Spend $24m for Two Palm Oil Plants
16/04/2015 (Jakarta Globe) - Astra Argo Lestari, the palm oil unit of Astra International, is setting aside $20 million to $24 million for the construction of two palm plants in South Kalimantan and Central Sulawesi this year.
“We are indeed trying to expand in many regions that so far have not yet been touched,” said Astra Argo director Joko Supriyono on Tuesday.
The plants will be completed in October 2016 with production capacity of 45 metric tons per hour for each plant. Astra Argo will have 31 palm plants next year from 29 units this year.
Astra Argo finance director Rudy said the company will finance the construction from its capital expenditure. In 2015, the company allocated Rp 3 trillion ($230 million) to Rp 3.5 trillion for capital spending.
“We are indeed trying to expand in many regions that so far have not yet been touched,” said Astra Argo director Joko Supriyono on Tuesday.
The plants will be completed in October 2016 with production capacity of 45 metric tons per hour for each plant. Astra Argo will have 31 palm plants next year from 29 units this year.
Astra Argo finance director Rudy said the company will finance the construction from its capital expenditure. In 2015, the company allocated Rp 3 trillion ($230 million) to Rp 3.5 trillion for capital spending.