A capital injection of Rp1 trillion (US$90 million) from majority shareholder Jinsheng Mining will enable PT Central Omega Resources to expand its operations in Indonesia.
The company intends spending Rp10 billion to continue exploration on eight copper and nickel mines it owns while also intending to invest Rp1 trillion to acquire coal mines.
It hopes to begin producing at several of its existing operations during 2011.
Central Omega’s expansion plans also include acquisition of coal mines in Kalimantan in the next two years.
Central Omega, which formerly operated as a financing firm with the name of PT Duta Kirana Finance, changed its core business in late 2009 to mining.
The publicly-listed company started its new business by acquiring PT Mulia Pacific Resources (99.99%) and PT Mega Buana Resources (99.6%) early this year.
The company also owns a wholly-owned subsidiary PT Bumi Konawe Abadi with a mining concession area in Sawa, south-east Sulawesi.
Mulia Pacific is the holder of four mining concessions (KP) in Maluku and Sulawesi. It has a copper mine in East Halmahera, Maluku and another mining concession in the same area. The other two with nickel potential are Petasia and Bungku Selatan concessions in central Sulawesi.
Mega Buana holds two nickel exploration concessions in Lembo and Bumi Raya, central Sulawesi.