| This year, 2026, will witness a fundamental reshaping of Geo Energy’s cost base, margin profile, and long-term growth runway. The building blocks are in place: the construction of a 92-km MBJ integrated haulage road and jetty which started in 2025, and the January 2026 acquisition of two established shipping companies, PT Trans Maritim Pratama (TMP) and PT Bahari Segara Maritim (BSM). Moving beyond being a pure-play coal miner, the Group is transforming into a fully integrated energy and logistics platform. |
In March 2026, the MBJ integrated haulage road and jetty had achieved an 80% construction milestone and remain firmly on track for completion by June 2026.
PhillipCapital analyst Paul Chew notes that the project is expected to begin commercial usage in the August-September period.
Concurrently, the recent successful acquisition of a 51% stake in TMP and BSM effectively brings marine logistics in-house.
These moves drastically reduce the Group's reliance on third-party transporters, secure critical supply chain capacity from mine to mother vessel, and open a recurring toll-based revenue stream from third-party infrastructure users.
The benefits are illustrated here: 
Geo Energy said it signed two Coal Hauling Trial Services Agreements.
"MBJ will commence truck trial tests in early April 2026... to validate operational readiness," testing parameters such as load, braking, and fuel efficiency.
| Unlocking New Revenue Streams |
Geo Energy said it has secured two binding term sheets with third-party customers for 9 million tonnes of annual haulage.
| "Assuming coal production of 11.5 – 12.5 million tonnes at current coal prices, the Group would be able to generate between US$170 – US$200 million in EBITDA from its coal sales alone (excluding contributions from MBJ infrastructure and marine logistics segments). -- Geo Energy |
Combined with the 25 million tonnes allocated for the Group's own TRA mine, the Group has secured a total of 34 million tonnes in annual throughput.
Mr. Charles Antonny Melati, Executive Chairman & CEO, highlighted the scale of this opportunity: "At full capacity, MBJ alone is able to generate up to US$300 million in EBITDA per year for the Group".
Suggesting a target price of 75 cents for the stock, analyst Paul Chew of Phillip Capital stated that Geo is "on track for a trifecta boost in earnings from the rebound in coal prices, a doubling of coal production, and fee income from road usage and transportation fees".
| Financial Resilience Amidst Tax Headwinds |
In FY2025, production shattered the targeted 10.5–11.5 million tonnes, reaching a record 12.5 million tonnes.
Executive Chairman Charles Melati.While revenue surged 40% to US$562.7 million, pushing cash profits up to US$127.8 million, the bottomline was impacted by a significant change in the tax landscape.
And coal pricing was weak—where the average Indonesian Coal Index (ICI4) fell to US$46.07 per tonne from US$53.93 in 2024.
Crucially, by optimizing mining plans and linking production costs to the ICI4 index, the Group successfully drove down its cash cost to US$34.10 per tonne (down from US$40.32), preserving a healthy cash profit of US$10.02 per tonne.
Consequently, profit before tax nearly doubled to US$49.1 million, while net profit jumped 26% to US$27.5 million, seamlessly absorbing a higher tax expense structure.
|
Geo Energy FY2025 |
||
|
Item |
Amount (US$) |
% Change |
|
Revenue |
562,663,546 |
40 |
|
Gross profit |
85,694,060 |
63 |
|
Profit before income tax |
49,145,773 |
95 |
|
Income tax (expense) credit |
(21,624,641) |
557 |
|
Profit for the period / year |
27,521,132 |
26 |
|
Gain on sale of receivables1 |
– |
(100) |
|
Reported profit for the period/year |
27,521,132 |
(26) |
|
1US$15.1 million was recorded for FY24 |
||
Tax expense shot up to US$21.6 million (FY2024: US$3.3 million) attributable to the higher Harga Patokan Batubara (“HPB”) Indonesia coal benchmark prices over the Group’s actual selling prices based on ICI4.
Under a new Indonesia law, the applicable taxable income is derived from the higher of actual selling prices and HPB prices.
|
→ See also: GEO ENERGY’s On The Road to Higher Valuations. What’s Driving This Analyst’s Upgraded Outlook?
