Indian coal miner seeks Indo stake

Golden Energy is a coal-mining subsidiary of energy and infrastructure firm Dian Swastatika Sentosa. It is estimated to have 400 million tons of reserves. It owns 10 coal mining areas across Indonesia, including in Sumatra and Kalimantan.

State-run Coal India, in which the government sold a 10 percent stake for $3.4 billion last year in the country's largest initial public offering, is halfway through the due diligence for the Golden Energy asset, two of the sources said. The Indian company will submit a final bid by the end of June, they said.

United Tractors, Indonesia's biggest heavy equipment provider, has withdrawn from the bidding process for the asset, sources said. The sources declined to be named as the information is not public.

Officials at Coal India, headquartered in Kolkata, and Dian Swastatika in Jakarta could not be reached for a comment. Dian Swastatika Sentosa is owned by Sinar Mas Group, one of Indonesia's leading conglomerates.

Golden Energy corporate secretary Eddy Salimah said the company was in talks with six firms, including Coal India, over the stake sale. Golden Energy also plans to sell shares in an IPO in August at Rp 2,300 to Rp 3,500 each, he said.