BUMA Signed New Contract with PT Tanah Bumbu Resources

PT Delta Dunia Makmur Tbk. (the "Company") is pleased to announce that its subsidiary, PT Bukit Makmur Mandiri Utama ("BUMA"), has entered into mining services contract with PT Tanah Bumbu Resources (“TBR”), a subsidiary of Geo Energy Resources Limited (“Geo Energy”), who is an integrated coal mining group listed in the Singapore Stock Exchange. TBR is located in Tanah Bumbu Regency, South Kalimantan, right next to Geo Energy’s other concession area, PT Sungai Danau Jaya (“SDJ”), where BUMA has been operating in since 2015.

TBR is expected to contribute around 169 million bcm of overburden removal and 47 million tonnes of coal over the entire life of the mine. The estimated value of the contract is over to Rp 7 trillion (equivalent to over US$500 million).

Given the proximity of TBR location to SDJ, BUMA expects to optimize the efficiency of its operations at both sites. The operational activity is to commence within the month, with production volume expected to be visible in the second quarter of 2018.

This contract will serve to strengthen BUMA’s relationship with Geo Energy, a rapidly growing coal miner with future potential growth. It will further support BUMA’s strategy for long-term sustainability and profitable growth.