Jakarta. Engineering and mining solutions company Petrosea (PTRO), acquired by business tycoon Prajogo Pangestu, will allocate $400 million, or approximately Rp 6 trillion, to purchase new machinery amid strong business growth.

Petrosea reported a 21.3 percent increase in revenue, rising from $476.3 million in 2022 to $577.6 million in 2023. In the first half of 2024, the company saw a 16.1 percent year-on-year revenue increase, reaching $318 million.

“This performance is supported by growth in the engineering and construction sectors, with the biggest contributions coming from key projects, including early works at BP Onshore, Tangguh Onshore Compression, and the Manyar Maju refinery,” Petrosea Director Ruddy Santoso said at a press conference on Wednesday.

Since 2022, mining contract services have accounted for over 60 percent of Petrosea’s total revenue. In the first half of 2024, engineering and construction services contributed 44.4 percent to overall revenue.

“This aligns with Petrosea’s business diversification strategy and expansion efforts, supporting BP’s new project and increased project activities at Freeport’s Gresik and Papua operations,” Ruddy added.

So far this year, Petrosea has reported a gross profit of $40.7 million, remaining relatively flat compared to the same period last year, amid rising costs to support operations and expansion.

According to Ruddy, the company’s total assets have surged by 23.3 percent, from $596.4 million in 2022 to $735.6 million in the first half of 2024.

“The asset growth corresponds with increased revenue and underscores the company’s commitment to business expansion,” Ruddy said.

Petrosea plans to allocate $400 million through 2025 for investments in new mining equipment and machinery.

“The planned procurement aims to support our new mining service projects and ensure the sustainability of our business in the future,” Ruddy explained.

As part of its expansion, the company launched a new subsidiary, Petrosea Infrastruktur Nusantara, on October 8.

Iman Darus Hikhman, another member of Petrosea’s board of directors, said the new subsidiary will integrate services between Petrosea and Petrindo to deliver top-tier services to clients.

“We also offer integrated solutions for mineral projects still in the development stage in regions like Central Kalimantan and eastern Indonesia,” Iman noted.

Board member Kartika Hendrawan said the company is conducting due diligence on assets targeted for acquisition.

“Essentially, the infrastructure business is expected to strengthen and complement Petrosea’s role -- not only as a contractor for infrastructure development but also as an asset owner -- further reinforcing our reputation as a reliable mining contractor for our clients,” Kartika said.