Geo Energy Resources Limited has announced that its MBJ Integrated Infrastructure project has reached 80% completion, with full operational readiness expected by early third quarter 2026. The project, which includes a 92-kilometer hauling road and jetty in South Sumatera, is on track for completion by June or July 2026.
Truck hauling trials are set to begin in April 2026, following agreements with PT Citra Andalan Mobilindo Cemerlang and China North Vehicle Corporation Limited. These trials will assess various operational parameters, ensuring the infrastructure's readiness for full-scale operations.
The company has secured two binding term sheets with third-party coal producers for an aggregate haulage volume of 9 million tonnes per annum. This move is part of Geo Energy's strategy to establish a new, recurring toll-based revenue stream from the MBJ infrastructure.
At full capacity, the MBJ project is expected to handle around 50 million tonnes of haulage per annum, potentially generating up to an additional $300 million in EBITDA annually for Geo Energy.
In parallel, the company has set a coal production target of 11.5 to 12.5 million tonnes for 2026, subject to approvals from the Ministry of Energy and Mineral Resources. The recent surge in ICI4 coal prices to $59.97 per tonne as of March 13, 2026, could significantly boost the company's earnings, potentially generating between $170 million and $200 million in EBITDA from coal sales alone.
Geo Energy's Executive Chairman and CEO, Charles Antonny Melati, highlighted the strategic importance of the MBJ infrastructure, noting its potential to significantly enhance the company's financial performance and support its long-term growth vision.