Investment Proposition
PT Sapta Borneo Utama is developing an integrated sugar, ethanol, biomass power and plantation platform in Majalengka, West Java, Indonesia with total project cost of USD 1,000,000,000.
Project Highlights
USD 1.0BTotal Project Cost
10,000 TCDSugar Factory
315,810 TonsAnnual Sugar Production
60 KLPDEthanol Plant
30 MWBiomass Power Plant
24–30 MonthsImplementation Period
Project Components
| Component | Scope |
|---|---|
| Sugar Factory | 10,000 TCD integrated sugar processing facility. |
| Ethanol Plant | 60 KLPD ethanol production for fuel, industrial and chemical feedstock markets. |
| Biomass Power Plant | 30 MW renewable energy generation using bagasse and biomass residues. |
| Core Plantation | 500 Ha initial plantation development. |
| Plasma Program | 10,000–20,000 Ha farmer partnership and feedstock expansion program. |
Location Advantage
- Strategic location in Majalengka Regency, West Java.
- Access to agricultural development areas and workforce availability.
- Connectivity to regional logistics corridors and consumption centers.
- Supports long-term industrial and agribusiness expansion.
Capital Investment
| Item | Amount / Term |
|---|---|
| Total Project Cost | USD 1,000,000,000 |
| EPC Contract | USD 442,500,000 |
| Financing Structure | Senior Secured Limited-Recourse Project Finance |
| Debt Tenor | 20 Years |
| Interest Rate | 3.00% Fixed |
| DSRA | 6 Months Debt Service |
Financial Highlights
| Metric | Base Case |
|---|---|
| Annual Revenue | USD 198.396 Million |
| EBITDA | USD 109.118 Million |
| CFADS | USD 91.712 Million |
| Annual Debt Service | USD 70.548 Million |
| DSCR | 1.30x |
| LLCR | 1.45x |
| PLCR | 1.60x |
| Project IRR | Approx. 11.8% |
Strategic Rationale
- Supports domestic sugar production capacity.
- Creates integrated sugar, ethanol and biomass revenue streams.
- Improves renewable energy utilization through bagasse power generation.
- Supports plasma farmer participation and rural development.
- Provides ESG-aligned infrastructure and agribusiness investment opportunity.
Implementation Schedule
| Phase | Focus | Indicative Timing |
|---|---|---|
| Phase 1 | Development, permitting and financing preparation | 0–6 Months |
| Phase 2 | Engineering and detailed design | 6–12 Months |
| Phase 3 | Procurement and long-lead equipment | 12–24 Months |
| Phase 4 | Construction and installation | 12–30 Months |
| Phase 5 | Commissioning and COD | 24–30 Months |
ESG and Sustainability
- Renewable biomass energy generation.
- Potential carbon credit development.
- Sustainable plantation and farmer partnership model.
- Community development and employment creation.
- Governance, compliance and lender reporting framework.
Investment Readiness
| Area | Status |
|---|---|
| Feasibility Study | Prepared for institutional review. |
| Financial Model | Base case, downside case and coverage ratios prepared. |
| EPC Framework | LSTK EPC structure with performance security. |
| Security Package | Project assets, accounts, revenues, insurance and EPC guarantees. |
| ESG Documentation | Policy, framework, carbon program and community development program prepared. |
Contact
| Company | PT Sapta Borneo Utama |
|---|---|
| Website | www.saptaborneo.com |
| info@saptaborneo.com | |
| Telephone | +62 21 50322435 |
Document Information
| Document Owner | PT Sapta Borneo Utama |
|---|---|
| Project | USD 1 Billion Integrated Sugar Factory Project |
| Location | Majalengka, West Java, Indonesia |
| Classification | Confidential |
| Status | Final / Published |
| Prepared For | Lenders, ECAs, Institutional Investors and Strategic Partners |
| Date | June 2026 |
Revision History
| Version | Date | Document No. | Status | Description |
|---|---|---|---|---|
| 1.0 | June 2026 | SBU-PRES-002 | Final / Published | Project Presentation issued for institutional lender data room publication. |