Geo Energy Resources

Geo Energy Resources: Geo Energy will manage and operate a port terminal located at Bunati Sub-district in South Kalimantan, Indonesia, for a 15-year period. Scope of services include the construction of a new conveyor belt, crusher and related facilities, as well as the provision of maintenance and repair services for the new facilities. The group's expansion downstream will not only provide certainty over its logistics schedule, lower costs are also expected from the reduced reliance on external port operators. In addition, new revenue may be derived from port services fees, when third party coal miners uses the jetty and other facilities at the port terminal. The port terminal has an existing capacity to handle 4.8m tonnes of coal per annum, which will be increased to 22.8m tonnes per annum (+475) upon the completion of the conveyor belt. At $0.295, Geo Energy has a trailing P/E of 17.6x, compared to Indonesia-listed peers of 19.8x.