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The views expressed here contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. Any forward

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SLIDE 1
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SLIDE 2

1

The views expressed here contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the

  • information. Any forward looking information in this presentation has been prepared on the basis of a number of

assumptions which may prove to be incorrect. This presentation should not be relied upon as a recommendation or forecast by PT. Indo Tambangraya Megah Tbk. Nothing in this release should be construed as either an offer to buy or sell or a solicitation of an offer to buy or sell shares in any jurisdiction

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SLIDE 3
  • 1. Introduction
  • 2. Financial Review
  • 3. Operational Review
  • 4. Commercial Review

Agenda

2

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SLIDE 4

Agenda

3

1. Introduction

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SLIDE 5

Highlights of 3Q11 & 9M11

4

3Q11 678 39% 219 156 $98.4 Q-Q +35% +1% +45% +42% +1%

Unit: USD Million

Coal sales 6.85 Mt

Up 1.6 Mt

+31% Q-Q

9M11 1,649 37% 487 361 $94.6 y-y% +37% +3% +63% +94% +28%

Coal sales 17.56 Mt

Up 1.2 Mt

+7% y-y

Total Revenue Gross Profit Margin EBIT Net income ASP (USD/ton) 2Q11 502 38% 151 110 $97.4 9M10 1,205 34% 298 186 $73.9

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SLIDE 6

Agenda

5

2. Financial Review

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SLIDE 7

Sales Revenue

6

3Q10 4Q10 1Q11 2Q11 3Q11

3Q10 4Q10 1Q11 2Q11 3Q11

Units: Million Ton

SALES VOLUME

Units: USD/Ton

AVERAGE SELLING PRICE

Units: USD Million

REVENUE* GROWTH

Indominco Trubaindo Jorong Kitadin

* Net coal revenue

3Q10 4Q10 1Q11 2Q11 3Q11

3Q10 4Q10 1Q11 394 447 5.0 5.8 5.5

+7% YoY +31% QoQ +26% YoY +1% QoQ

78.3 77.6 87.3

+71% YoY +33% QoQ

479 5.2 97.4 2Q11 508 3Q11 6.8 98.4 674

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SLIDE 8

Average Gross Margin

* COGS included royalty 7

ITM Consolidated Indominco Trubaindo Kitadin Jorong

320

25%

136

31%

51

23%

2

(60%)

Units: USD million

10% 19%

Total Revenue GPM* (%)

3Q11 33% 34% 36% 19% 3Q10 2Q11 3Q11 3Q10 2Q11 3Q11 3Q10 2Q11 2Q11 3Q10 3Q11 2Q11

486 229 26 678

39% 28%

396

37%

180 36

18% 19% 23%

23

2Q11

502

38% 3Q10 34%

390

10%

45

30%

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SLIDE 9

EBITDA

8

Units: USD million CONSOLIDATED MINE BY MINE

*COGS = Prod cost + Transport cost + Inv. movement

Revenue 2Q11 3Q10 3Q11

164.9

COGS Selling Royalty Admin

113.0

70.8 31.3 11.7 (4.1) Indominco Trubaindo

3Q10

Kitadin Jorong

2Q11 3Q11

102.2 51.5 8.6 4.4 Units: USD million

3Q10 2Q11 3Q11 3Q10 2Q11 3Q11 3Q10 2Q11 3Q11

232.8

(21.9) +176.5

+41% QoQ

150.9 61.0 15.7 3.5

(7.2) (1.8)

Royalty increased with revenues Higher Volume by 31% Higher ASP by 1%

(77.7)

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SLIDE 10

Net Income

9 2Q11 3Q11 Others EBIT Income Tax Derivative Transactions FOREX Net Fin.Charges 3Q10

CONSOLIDATED MINE BY MINE Units: USD million

51.7 155.9

28.9 6.8 20.9 (7.1)

Indominco Trubaindo Jorong Kitadin

67.6 33.8 4.0

3Q10 2Q11 3Q11 3Q10 2Q11 3Q11 3Q10 2Q11 3Q11 3Q10 2Q11 3Q11

Units: USD million 3.2

+67.9 (3.0) +0.1 (15.3)

+42% QoQ

110.1

+0.3

Derivative loss

100.3 42.9 8.6 1.8

(4.2)

Higher Volume by 31% Higher ASP by 1%

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SLIDE 11

Balance Sheet

10

Net Gearing (%) Net D/E (times)

(30%) (0.34) (0.36) (34%)

(Units: USD million)

CASH POSITION

2007 2008

258 222

(Units: USD million)

DEBT POSITION

2007 2008

92 11 55

2009

429 (0.47) (44%)

2009 3Q11

579

3Q11

(0.65) (65%) 295

2010 2010

(0.41) (41%)

2007 2008 2009 3Q11 2010

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SLIDE 12

2011 Capital Expenditure Plan: USD 126 m

11

Units: USD million

32.9 60.8 10.5 14.6 1.4 11.4 9.6 6.1 13.8 0.0

IMM TCM BEK KTD JBG

Indominco Trubaindo Bharinto Kitadin Jorong

Note: Total capex plan including Jakarta office

Capex realized up to Sep’11 2011 Capex plan

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SLIDE 13

Agenda

12

3. Operational Review

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SLIDE 14

Operations in 2011

.

Indominco 10.7mt output in 9M11. Output target of 14.7mt for 2011

Captive coal-fired power

Trubaindo 4.9mt output in 9M11. Output target of 7.2 Mt for 2011 Jorong 1.2mt output in 9M11. Output target of 1.4mt for 2011 Bharinto Mine operations will start within 4Q11 Kitadin-Embalut 0.9 Mt output in 9M11. Output target of 1.2mt for 2011 Kitadin-Td.Mayang Works as mining contractor at IMM area and production from

  • wn mine will

commence by 2H 2011 with target output of 0.5mt

9M11 output: 17.8mt and FY11 target: 25mt

13

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SLIDE 15

2.1 2.1

4.2 4.0

Indominco Mandiri

EAST BLOCK

Santan River Port stock yard Bontang City Asphalt haul road

2.5Km

35Km Sea conveyor Mine stockyard Inland conveyor 4km

10 6 8 2 km 4

WEST BLOCK

Operations Stockpile Ports Hauling Crusher

ROM stockpile

INDOMINCO-BONTANG SCHEMATIC

14 Post Panamax 95,000DWT

INDOMINCO PRODUCTION ANALYSIS

MAJOR QUARTERLY UPDATES

3Q11 production was higher than last year due to better

weather condition and additional mining equipment from PAMA

Overall strip ratio in 2011 is expected to be lower than 2010 in

line with higher contribution from East Block

Expansion of port stock capacity from 0.35mt to 0.65mt and

installation of 6 new tunnels conveyer at port stockyard already completed

Further study on East Block Wash Plant concept and design is

still ongoing

3.1 3.7 3.6 3.5 3.6 1Q 2Q 3Q 4Q 2010 2011 SR

15.0 14.9 14.9 14.7

West Block

1.8 2.8

1.8

2.5 2.5 2.3

1Q 2Q 3Q 4Q East Block

1.3 0.9

2.2

1.1 1.0 1.3

1Q 2Q 3Q 4Q

SR

14.6 14.7 14.6 14.7 9.0 9.0 9.0 9.0

Volume

13.5

9M11 output: 10.7mt; FY11 target: 14.7mt

15.8

Volume

10.1

3.4

11.8 1.8 1.6

12.5 10.9

12.0

13.1 10.9

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SLIDE 16

Trubaindo and Bharinto

Mahakam River

Operation Stockpile Hauling Barge Port Crusher

South Block 1 (Dayak Besar) North Block 40km Mine to port Kedangpahu River ROM stockpile Bunyut Port

10 25 15 20 5 km

Product coal conveyor, stacking, stockpile

TRUBAINDO-BHARINTO SCHEMATIC

EAST KALIMANTAN Bharinto 60km south west of Trubaindo North Block South Block 2 (Biangan) PT. BHARINTO PT. TRUBAINDO 15

TRUBAINDO PRODUCTION ANALYSIS

MAJOR QUARTERLY UPDATES

  • Trubaindo:

3Q11 production was higher than last year supported by increased capacity from mining contractor Expect higher strip ratio in 2011 due to approaching narrow pit area

  • Bharinto:

PAMA will be working as the mining contractor and all required mining equipment already arrived on site Crushing plant construction and port stockyard already completed and already test run Mine operations will start within 4Q 2011 Currently waiting for the completion of hauling road

1.5 1.6 2.2 1.1 1.3 1.5 1Q 2Q 3Q 4Q SR :

11.0 11.4 11.4 10.5

9M11 output: 4.9mt; FY11 target: 7.2mt 2010 2011

10.0

Volume : 1.7

11.9

1.8

14.1

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SLIDE 17

Kitadin Embalut and Tandung Mayang

Balikpapan Mahakam River

Samarinda

to Muara Berau Bontang city

EMBALUT

Embalut Port to Muara Jawa

ROM stockpile

Operations Stockpile Ports Hauling Crusher 10 6 8 2 km 4 5km Mine to port

  • TD. MAYANG

EAST KALIMANTAN

IMM EB

KITADIN SCHEMATIC

IMM WB

Bontang Port

16

EMBALUT PRODUCTION ANALYSIS

MAJOR QUARTERLY UPDATES

  • Kitadin Embalut:
  • 3Q11 production achieved higher than plan supported by

additional equipment from 2 mining contractors

  • Change in mining sequence in 4Q11 may lead to higher

strip ratio

  • Kitadin Tandung Mayang:
  • Already have production from its own area since 3Q11

and expect 0.5mt production for 2011

  • Currently also works as mining contractor at Indominco

area

0.3 0.4 0.3 0.3 0.3 1Q 2Q 3Q 4Q SR :

10.4 10.6 10.7 10.8

9M11 output: 0.9mt; FY11 target: 1.2mt 2010 2011

8.9

Volume : 0.3

8.7

TD.MAYANG PRODUCTION ANALYSIS

1Q 2Q 3Q 4Q FY11 target: 0.5mt Volume :

0.0 0.0 0.0 0.0 0.0 0.0

2010 2011 0.3 0.3

8.7

0.5

0.0

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SLIDE 18

Jorong

Coal terminal Jorong Pelaihari

Pacific Ocean

Haul road

Operations Stockpile Hauling Barge Port 10 25 15 20 5 km

20km

JORONG SCHEMATIC

17

JORONG PRODUCTION ANALYSIS

MAJOR QUARTERLY UPDATES

  • 3Q11 production was higher than plan due to better

weather condition and good contractor performance

  • Maintained production level of around 1.0 to1.5mt due to

limited area

0.3 0.4 0.3 0.1 0.4 1Q 2Q 3Q 4Q SR :

6.9 6.9 6.9 6.9

0.0 9M11 output: 1.2mt; FY11 target: 1.4mt

8.6

Volume : 2010 2011 0.4

8.6

0.5

8.6

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SLIDE 19

Agenda

18

4. Commercial Review

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SLIDE 20

Main 2011 coal market driver update

Weather Chinese Demand World Growth

Sources: Country Forecast October 2011 from The Economist Intelligence Unit Limited 2011

19

  • Downward trend, but not in

coal consumption.

  • Uncertainty impacting

forecasts due to European and USA debt concerns, Middle East/N. Africa unrest, exchange rate trends and inflation.

  • 2012 world growth forecast
  • f 2.4% (previous forecast

was 3.1%). Asian growth forecast is 6.3% (previous forecast was 6.9%).

  • Indonesia season was wet

during first half and drier in the second half 2011.

  • Chinese winter was normal

followed by water shortages. Summer was normal.

  • Australian storms/floods

damage is largely overcome.

  • Demand is stronger than

expectations in total but unevenly distributed.

  • Production increased beyond

demand increase, but again levels vary by region.

  • Imports weak in 1Q,

recovering in 2Q, very strong in 3Q. While some uncertainty in 4Q, very strong so far.

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SLIDE 21

Coal price benchmarks Indonesia benchmarks start to decline particularly in 4Q11 due to increases in Indonesian production. Australian benchmark pricing held up by steady growth, currency and financial movements affecting paper prices. Also some excess tonnages avoided capture in index figures. South African declines with above plan railings, and short term port stocks in India reducing market

  • ptions.

European pricing supported by higher cost of competing fuels, such as gas and declining carbon credit price.

60 70 80 90 100 110 120 130 140 150 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 US$ / tonne

FOB Richards Bay 6000 kcal/kg, NAR FOB Newcastle 6300 kcal/kg, GAR FOB Kalimantan 5900 kcal/kg, GAR FOB Kalimantan 5000 kcal/kg, GAR

20

Thermal Coal Benchmark Prices

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SLIDE 22

Thermal coal market analysis – 3Q 2011 update

21 USA Thermal supply increase for export from Atlantic ports. Pacific deliveries continue INDIA Recovery and growth Continue, but stocks high post monsoon EAST ASIA Japan coming back to normal with current Japanese forecasts likely understated; Korea and Taiwan strong recovery SOUTH AFRICA Continuing problems in rail eases short term but markets lost. Longer term issues re national policy appearing AUSTRALIA Flood impacts largely

  • vercome while rail and

Some mine bottlenecks continue to be limits COLOMBIA Prices capped by tonnage returning to Atlantic RUSSIA Rising production and Rail availability supports Limited export increase CHINA Import springs back LCV/off-spec coal

= Demand/Supply = Demand

REST OF ASIA Continued growth INDONESIA 3Q Dry season excellent ATLANTIC Increased demand due to Higher gas prices, nuclear concerns and low carbon credit price

= Supply

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SLIDE 23

ITM Average Selling Prices

22 USD per tonne

NEX* Nov 03, 2011 $117.60

Prices remained strong, weakening in 4Q11, but will not affect to our ASP. Looking beyond to 2012, price stable - a bit weak in 1Q12 and gradually increase. ASP gain constrained by lower quality, higher margin products in 3Q11. ASP lagged but catching up due to mix of term of contracts and pricing.

20 40 60 80 100 120 140 160 180 200 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09 Mar-10 Sep-10 Mar-11 Sep-11 Monthly BJI Quarterly BJI Quarterly ASP

ASP 3Q11 $98.4/t ASP 9M11 $94.6/t

Monthly NEX Quarterly NEX Quarterly ASP

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SLIDE 24

Indicative 2011 Coal Sales

23

Coal sales contract and pricing status Comment Coal sales contract and pricing status

2011 tonnage are fully sold Sales are close to 25mt ASP approaching US$ 97.00 Production recovery with logistics catching up

Contract Status Price Status

TARGET SALES 2011: c.25mt

100% Contracted “Fully Sold”

95% 5%

Fixed Index

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SLIDE 25

Coal Sales by Geographic Destination and 2012 Trend

JAPAN (17%) INDIA (9%) INDONESIA (8%) PHILIPPINES (5%)

HONG KONG (4%)

TAIWAN (7%) S.KOREA (5%) THAILAND (8%)

2012 trend expectation

2012 *Includes small, non- regular purchasers

Coal sales 9M11 (total 17.6 Mt)

OTHERS* (0%) ITALY (9%)

2012

CHINA (22%)

2012 2012 2012 2012 2012 2012 2012

24

3.5 4.5 1.5 2.3 2.9

  • 0.5
1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

9M10 FY10 3M11 6M11 9M11

1.2 1.8 0.3 0.4 0.9

  • 0.5
1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

9M10 FY10 3M11 6M11 9M11

2012 1.0 1.2 0.1 0.4 0.7

  • 0.2
0.4 0.6 0.8 1.0 1.2 1.4

9M10 FY10 3M11 6M11 9M11

3.6 5.1 1.2 2.3 3.8

  • 0.5
1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

9M10 FY10 3M11 6M11 9M11

1.2 1.8 0.5 1.0 1.6

  • 0.2
0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8 2.0

9M10 FY10 3M11 6M11 9M11

1.8 2.4 0.3 0.9 1.3

  • 0.5
1.0 1.5 2.0 2.5 3.0

9M10 FY10 3M11 6M11 9M11

0.9 1.1 0.3 0.6 1.0

  • 0.2
0.4 0.6 0.8 1.0 1.2

9M10 FY10 3M11 6M11 9M11

0.4 0.5 0.1 0.7 1.4

  • 0.2
0.4 0.6 0.8 1.0 1.2 1.4 1.6

9M10 FY10 3M11 6M11 9M11

1.1 1.5 0.5 0.8 1.3

  • 0.2
0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8

9M10 FY10 3M11 6M11 9M11

0.2 0.2 0.0 0.0 0.0

  • 0.1
0.1 0.2 0.2 0.3

9M10 FY10 3M11 6M11 9M11

MALAYSIA (5%) 2012

0.8 1.1 0.1 0.5 0.9

  • 0.5
1.0 1.5 2.0 2.5 3.0

9M10 FY10 3M11 6M11 9M11

0.7 0.9 0.6 1.0 1.6

  • 0.2
0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8

9M10 FY10 3M11 6M11 9M11

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SLIDE 26

25

Question & Answer

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SLIDE 27

Agenda

26

Appendices

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SLIDE 28

ITM Structure and History

27 ITMG

65.00%

Indominco Trubaindo Bharinto Jorong

PT Indominco Mandiri (CCOW Gen.I) PT Trubaindo Coal Mining (CCOW Gen II) PT Kitadin-Embalut (KP) PT Bharinto Ekatama (CCOW Gen III) PT Jorong Barutama Greston (CCOW Gen II)

50.00%

PT Indo Tambangraya Megah Tbk.

Banpu Minerals (Singapore) Pte Ltd 99.99% 99.99% 99.99% 99.99% 99.67%

139 Mt 697 Mt

Resources

Reserves

104 Mt 335 Mt

Resources

Reserves

14 Mt 152 Mt

Resources

Reserves

45 Mt 298 Mt

Resources

Reserves

6 Mt 145 Mt

Resources

Reserves

Banpu Minerals Co.Ltd

Reserves 318* Mt Resources 1,640* Mt

BMS

99.99%

BMC

Banpu PCL

Banpu Public

35.00%

Kitadin

PT Kitadin-Td.Mayang (KP)

10 Mt 13 Mt

Resources

Reserves

BCI

50.00% 100.00%

Banpu Coal Investment Co.Ltd Note: * Updated Coal Resources and Reserves as of 30 Sep 2011

East Kalimantan East Kalimantan South Kalimantan East Kalimantan East / Central Kalimantan

INDONESIAN STOCK EXCHANGE IPO 18th Dec 2007

6,500-7,300 kcal/kg 6,000-6,300 kcal/kg 5,800 kcal/kg 6,400-6,800 kcal/kg 6,700 kcal/kg 5,300 kcal/kg

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SLIDE 29

Coal Resources and Reserves (as of 30 Sep 2011)

28

Indominco Kitadin-Td.Mayang Jorong Trubaindo

W.Block E.Block

251 Mt 30 Mt 446 Mt 152 Mt 14Mt 145 Mt

6Mt

335 Mt 104 Mt 298 Mt 45 Mt

13Mt

RESOURCES RESERVES

Kitadin-Embalut

Total Reserves : 318 Mt Total Resources : 1,640 Mt 109 Mt

10Mt

Bharinto

Note: * Updated Coal Resources and Reserves as of 30 Sep 2011 based on estimates prepared by Competent Persons (consider suitably experienced under the JORC Code) in 31 Dec 2010 and deducted from coal sales volume in 9M11

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SLIDE 30

Income Statement

29

Unit: US$ thousand 3Q11 2Q11 3Q10 QoQ% YoY% Net Sales 678,440 501,982 396,715 35% 71% Gross Profit 265,624 188,771 139,254 41% 91% GPM 39% 38% 35% SG&A (46,814) (37,905) (40,456) EBIT 218,810 150,866 98,798 45% 121% EBIT Margin 32% 30% 25% EBITDA 232,773 164,855 113,037 41% 106% EBITDA Margin 34% 33% 28% Net Interest Income / (Expenses) 1,354 1,040 91 FX Gain / (Loss) (2,756) 1,430 1,565 Derivative Gain / (Loss) (7,698) (4,675) (2,424) Others (1,913) (1,966) (27,869) Profit Before Tax 207,797 146,695 70,161 42% 196% Income Tax (51,917) (36,591) (18,421) Net Income 155,880 110,104 51,740 42% 201% Net Income Margin 23% 22% 13%

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SLIDE 31

Income Statement

30

Unit: US$ thousand 9M11 9M10 YoY% Net Sales 1,648,752 1,204,995 37% Gross Profit 606,472 409,610 48% GPM 37% 34% SG&A (119,365) (111,251) EBIT 487,107 298,359 63% EBIT Margin 30% 25% EBITDA 529,381 339,217 56% EBITDA Margin 32% 28% Net Interest Income / (Expenses) 2,649 922 FX Gain / (Loss) 1,861 4,514 Derivative Gain / (Loss) (2,876) (15,788) Others (7,258) (34,786) Profit Before Tax 481,483 253,221 90% Income Tax (120,273) (67,357) Net Income 361,210 185,864 94% Net Income Margin 22% 15%