The Indonesian Defense Sector - Market Opportunities and Entry Strategies, Analyses and Forecasts to 2015
- Published: July 2010
- Region: Indonesia
Mineral, customer, and single-mine concentration risks Aggressive capital structure Evolving mining regulations Good record of production growth Improving cash flows Low cost of production The rating on PT Berau Coal Energy (Berau Energy) reflects the Indonesian coal producer's mineral, customer, and single-mine concentration risks. The rating also reflects the company's aggressive capital structure and the regulatory uncertainty in Indonesia. Berau Energy's good record of production growth, improving cash flows, and a low cost of production partially offset these weaknesses. We expect Berau Energy's financial risk profile to improve over the next two years due to an expansion in the company's production, and steady thermal coal prices. We project that Berau Energy's ratio of total debt to EBITDA will gradually improve...
Companies mentioned in this report are: PT Berau Coal Energy
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Research Type: Full Analysis
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PT Berau Coal Energy