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Fajar Surya production to reach 1 million tons in 2011

JAKARTA: Indonesia's second largest packaging paper maker PT Fajar Surya Wisesa Tbk (FASW) estimates to reach 1 million tons production by first quarter next year, underpinned by additional of paper machine 5.In 2012, Fajar Surya is expected to produce

JAKARTA: Indonesia's second largest packaging paper maker PT Fajar Surya Wisesa Tbk (FASW) estimates to reach 1 million tons production by first quarter next year, underpinned by additional of paper machine 5.In 2012, Fajar Surya is expected to produce 1.25 million tons. In a presentation material submitted to Indonesia Stock Exchange (IDX), sales volume is estimated to reach 1 million tons in 2011 and 1.14 million tons in 2012.The company is producer of corrugated medium paper, kraft liner board, and coated duplex board.In 2009, the company produced 708,665 tons and sales volume of 723,615 tons.By end of 2010, Fajar Surya estimates to post US$38 million, a 10.5% increase from last year's position at US$29 million.EBITDA is estimated to increase 21.6% to US$78 million from US$61 million. Revenue is expected to rise 25.77% to US$366 million from US$291 million.Fajar Surya has prepared four expansions in 2011 and 2012 with total cost of US$167 million. It will commence start-up of paper machine 5 in January 2011 which requires US$85 million. Production capacity is 300,000 tons a year.By end of 2011, Fajar Surya plans to modify paper machine 7 which requires US$40 million cost. In mid of 2011, the company aims to build new incinerator 2 with total project cost of US$12 million.In mid of 2012, the company plans to modify paper machine 2, requiring US$30 million total cost. (wiw)

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