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PT WATU PETRA UTAMA

Watu Petra Utama (WPU) is a subsidiary of Watu Group and also one of natural resources-based companies under Watu Group. WPU and other natural resources-based companies that are now in the process of establishment are business line of Mining and Infrastructure of WATU Group.

WPU has a andesite quarry concession of 130 Ha located at Cimenteng, Cianjur Regency with a distance of 70 km to Toll Gate of Ciawi. The first Mining Permit (IUP Operasi Produksi) of 28 Ha dated on September 11, 2014 that is valid until September 11, 2019 (5 years) and can be extended for another 5 years onward with mineable reserve of 50 million metric ton. However, the reserve of the whole concession is around 450 million metric ton based on a consultant calculation with the lowest terminal level of RL+657. While, DC Corporation (Taiheiyo Cement), Japan calculated reserve of 350 million metric ton until the lowest terminal level of RL+725. Basically the both reserve calculation is the same if the lowest terminal level as reference is the same.

Geologically, the concession is an intrusive body of Diorite Porphyry/Andesite/Basaltic Andesite that are volcanic rocks with thickness of overburden less than one meter on average.

Based on both physical tests and chemical analyses of samples. The quality of rock from WPU in terms of Compressive Strength (>1500 kg/cm2), Crushing Strength using Rudeloff Cylinder (12%), Abrasiveness using Los Angeles Machine (20%), Standard Specific Gravity (2.64) can meet the aggregate requirement for high strength concrete, asphalt mixing plant, and ballast to provide stability for train way. WPU’s rock has been used for ballast since 20 years ago after the access to the quarry face was established.

We believe that WPU would at least has a potential be a future huge quarry operation because of premium quality and 450 million metric ton huge reserves following completion of BOCIMI TOLL Road because of easy access to the Jabodetabek (outlying Jakarta’s areas) and South-East of Jakarta.

To anticipate the prospect of the concession, we fully understand that operating a natural resource-based company must have awareness of environmental issues. As such, WPU will carry out a strategy with what is called" "environmental sustainability-based performance" as a measure of performance instead of "financial-based performance" based on merely financial measures to achieve WPU performance as the environmental issue is critical.

To this end, "Green Innovation Practices" or “Eco Friendly Quarry Practices” as a determinant will be implemented to achieve "environmental sustainability-based performance“ as guidance of WPU’s practices.

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