Indonesia: Vanguard plans to set up cement plant with $490mn investment

A definitive agreement has been signed by US-based mining and exploration company, Vanguard Mining to buy 80% equity interest in Indonesian company Yupolo Resources in return for a combination of stock and cash.

It is reported that a 3,500hectare limestone and gypsum concession will also be co-developed by Vanguard Mining in Nusa Tenggara Timur, Indonesia.

Closure of the transaction is expected within 45 days after the agreement signing, subject to review of additional satisfactory due diligence. Deve

According to Widodo Santoso, the chairman of the Indonesia Cement Association (ASI), cement sales in 2016 are expected to increase by between 4% and 6% on the back of infrastructure projects executed by the government across Indonesia.

In 2015, cement sales in the archipelago reached 61 million tonnes, up by 1.8%.

Santoso disclosed that construction projects such as hotels, housing and offices account for about 75% of cement demand, while 25% comes from infrastructure projects.

Separately, Joko Wi

Indonesia's state-run cement maker Semen Indonesia has announced it will carry out an expansion to the west and build an additional cement factory in Aceh to meet higher demand in the province.

This will come after the company's plan to set up a cement plant in Papua. The company is planning to set up a cement plant in Kalimantan and Sulawesi, aside from Aceh, its finance director is reported as saying.

The company chose to set up another plant in Aceh to meet higher cement demand due to the building