DSNG Increased Its Shares to 35% in REA Kaltim
Jakarta, 14 March 2023 – PT Dharma Satya Nusantara Tbk (DSNG or the Company), through its subsidiary PT Agro Pratama, has increased its share ownership in PT REA Kaltim Plantations (REA Kaltim) to 35% through a Share Subscription Agreement (SSA) finalized on 8 March 2024. Previously, the Company invested 15% shares in REA Kaltim on 16 May 2016 through its subsidiary, PT Swakarsa Sinarsentosa and PT Agro Pratama.
REA Kaltim is a company operating in the palm oil industry that primarily focuses on cultivating oil palms and producing crude palm oil and palm kernels. Located in East Kalimantan, REA Kaltim manages around 35 thousand hectares of plantation area. The Company’s Palm Oil Mills (PKS) facilities boast a production capacity of 240 tons per hour, complemented by two methane gas capture plants.
“With the Company owning a 35% shareholding in REA Kaltim, we pursue continued growth in the palm oil business segment, particularly in gaining the Company’s future profitability. In addition, it will strengthen the partnership and collaboration between both parties, encompassing but not limited to areas such as agronomy, palm oil processing, palm plantation rejuvenation (replanting), and sustainability practices,” explained Jenti Widjaja, Chief Financial Officer of DSNG.
Jenti also added that the higher share ownership in REA Kaltim will positively impact both parties, especially sustainability practices since both DSNG and REA Holding (the parent company of REA Kaltim) are committed to becoming the sustainable palm oil players in Indonesia.
In 2023, both REA Holding and DSNG were independently ranked 12th and 10th out of 100 producers, processors, and traders of various industries, including palm oil, by SPOTT (Sustainability Policy Transparency Toolkit). The ranking is determined based on transparency towards the organization, policies, and implementation of ESG (Environmental, Social, and Governance) practices.
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ABOUT PT DHARMA SATYA NUSANTARA TBK
PT Dharma Satya Nusantara Tbk (DSN Group) was established on 29 September 1980 and focused on palm oil and wood products businesses. DSNG has 112.7 thousand hectares of planted area and 12 palm oil mills, which process Fresh Fruit Bunches (FFB) into CPO with a total capacity of 675 tons per hour. As for wood products, DSNG runs two wood processing plants in Central Java that produce panels and engineered floorings, with an installed capacity of 150,000 square meters per month for engineered floorings and 12,000 cubic meters per month for panel products.
FOR MORE INFORMATION
Paulina Suryanti
Corporate Secretary
PT Dharma Satya Nusantara Tbk
GRHA DSN
Jl. Pulo Ayang Kav OR.3, Kawasan Industri Pulogadung
Kelurahan Jatinegara, Kecamatan Cakung, Jakarta Timur 13930
Email: corporate.communications@dsngroup.co.id