Production and export of cellulose, pellets and rare wood species, Central Kalimantan
Up to 24% p.a. project return. Anchor buyer — Idemitsu (Japan). Partner: PT Sanur Hasta Mitra Bersama (SHMB).
The idea
ATR's industrial project in Central Kalimantan: a 60-year state forest concession under management, ready harvesting infrastructure and an own wood pellet plant. This is not a paper idea — the project already has licenses, roads, zoning for 1,400 ha of annual harvest and a confirmed reserve of 1.8M m³ of hardwood.
The raw material is processed into three products: premium timber for construction and furniture, black torrefied pellets for bioenergy and standard pellets from small wood and residues. After harvesting, plots are replanted with Red Calliandra — a fast-growing tree that ensures an uninterrupted raw material cycle for 30+ years.
Logistics are short and predictable: 38 km to an international airport, 45 km to Palangka Raya, 11 km to the river log pond on the Katingan, exports via the region's largest port Banjarmasin. This eliminates the main risk of such projects — cost and timing of delivery to the buyer.
Demand is already contracted. Buyers include Idemitsu (Japan, turnover above $60,000,000,000 per year), Adani (India) and Woodbois — large industrial players in energy and timber who need a stable long-term biomass supplier.
Two participation models are available for investors: a fixed return on invested capital or a share of the annual output at a discount to market price. Specific terms and project stake are discussed individually depending on capital size.
Why it matters
An asset, not an idea
A 60-year state concession and 1.8M m³ of confirmed wood reserves — a rare and immovable resource.
Anchor contracts
Idemitsu, Adani, Woodbois — industrial demand for years ahead at 450,000 t/year capacity.
Flexible entry model
Fixed return on capital or share of annual output at a discount — tailored to the investor.
Project economics
Project guidance once the plant reaches design capacity. Revenue and margin numbers are estimates based on current export pellet prices and own cost with own forest and biomass heat.
Resource and production
- Forest under management
- 62,000 ha
- Concession
- 60 years
- Hardwood reserve
- 1.8M m³
- Annual harvest
- 1,400 ha
- Plant capacity
- 450,000 t/year
Revenue and margin
- Export price FOB
- ≈ $200 / t
- Annual revenue
- ≈ $90M
- Operating margin
- $45–55M / year
- Project CAPEX
- ≈ $200M
Estimated guidance at design capacity, not an offer.
Investor return
- Project return
- up to 24% p.a.
- Fixed option
- from 8.5% p.a.
- In-kind option
- share of output + discount
- Settlements
- USD
Specific terms — individually depending on capital size.
Next step
Leave a request to discuss terms of participation
We'll get back to you within one business day and send a detailed memorandum for the direction.
Submit request