The Group’s vertically integrated coal mining operations are supported with logistics service business under Adaro Logistics, which consists of barging and coal vessel loading, river channel dredging and maintenance, stevedoring, land and sea port operations, and barge maintenance and repair to ensure that coal is delivered to either ship-loading or customers’ locations in accordance with the agreed schedules, specifications, and qualities. Currently, the subsidiaries of Adaro Logistics have three motorboats, one landing craft tank, 78 tug boats, 71 barges, three self propelled barges, four floating cranes (FCs), three floating transfer units (FTUs), one floating office, three fuel oil transportation barges, and one cutter suction dredger.
In addition, the Group’s coal mining business is also supported with business operations in the land, water, investment, and power areas, which play a significant role to secure smooth operations of the Group’s mining business and business sustainability in the long run.
Adaro Land handles all aspects of operational as well as corporate land management, such as managing overburden disposal areas, and disturbed land rehabilitation, developing the infrastructure to support operational and non-operational activities, leasing offices, warehouses, lands, and buildings, and managing office buildings. Further, two companies under this segment have been preparing carbon capture and ecosystem restoration activities. The land segment plays increasingly significant roles within the Group’s initiatives to reduce greenhouse gas emissions.
Adaro Water handles water treatment plants and slurry management to capitalize on the skills developed from years of treating mine and waste water. The water treatment business has also participated in projects for reducing non revenue water to support the government program on increasing clean water access for the Indonesian people.
Adaro Capital operates to pursue optimum capital returns and conduct financial transactions and investments in both real and financial sectors in Indonesia and overseas.
The Group also has a subsidiary in the power generation business, i.e. KPI, which operates by leasing assets and providing power generation supporting services of operations and maintenance. On the date of this Prospectus, KPI has a 1,060-MW coal-fired power plant in North Kalimantan, which is in the construction stage.
In addition, the group also conducts investment activities through its subsidiary VIS, and mining asset development through its subsidiary INS.
The integrated activities of the Company’s entire strategic business units combined create more competitive and reliable coal value chain synergy, which generates competitive advantages that place the Company in a leading position among the competitors.