Jakarta, IndonesiaApril 30, 2026 /PRNewswire/ — PT Vale Indonesia Tbk (hereinafter referred to as “PT Vale” or “the Company”) has successfully secured a US$750 million Sustainability-Linked Loan (SLL), including a US$250 million greenshoe option. This marks the Company’s first foray into the syndicated loan market while further solidifying its sustainable finance development strategy. The loan was jointly underwritten by 14 international banks, with an oversubscription ratio of 1.7 times, fully reflecting the strong recognition from lending institutions of PT Vale’s creditworthiness, strategic project pipeline, and environmental, social, and governance (ESG)-oriented growth trajectory.
Strengthening Its Sustainable Finance Strategy, PT Vale Secures US$750 Million ESG-Linked Syndicated Loan Facility
This loan is structured under PT Vale’s Sustainability-Linked Financing Framework and is tied to two core performance indicators: reducing carbon emission intensity and increasing the proportion of renewable energy usage. Both Key Performance Indicators (KPIs) have received a “strong” rating from an independent second-party evaluator, aligning with the Paris Agreement’s 1.5°C temperature control target pathway and Indonesia’s Nationally Determined Contribution commitments.
Driven by electrification, energy storage industries, and the global low-carbon transition, market demand for compliant, sustainably produced nickel continues to grow. Leveraging hydropower capacity in its production operations, PT Vale has positioned itself as a relatively low-carbon producer with distinct advantages.
Bernardus Irmanto, President and CEO of PT Vale, stated: “This loan marks a significant step in our development journey, signaling the deep alignment of our financing strategy with low-carbon emission reduction plans and long-term development vision. We remain committed to producing high-quality nickel products with a low carbon footprint while supporting Indonesia’s downstream industry development layout and contributing tangible efforts to the global energy transition.”
Harapman Kasan, Director of Wholesale Banking at UOB Indonesia, said: “As the nickel industry in Southeast Asia continues to evolve and mature, well-structured transition financing is becoming increasingly important. This financing transaction reflects our commitment to aligning loan structures with quantifiable sustainability goals while fully supporting Indonesia’s overall industrial upgrading and key energy transition efforts.”
Mike Zhang, Head of Global Metals and Mining for Institutional Banking at DBS Bank, added that the metals and mining sector is a key pillar driving the energy transition and must demonstrate credible, quantifiable progress in sustainability.
Ken Matsuo, President of PT Bank Mizuho Indonesia, commented: “The energy sector is the cornerstone of Indonesia’s economy, and we are honored to participate in supporting PT Vale’s first syndicated loan. Despite market volatility, this financing saw strong participation and oversubscription, fully confirming market confidence in PT Vale’s business model. We believe that integrating ESG principles into such financing structures is an important driver for achieving a sustainable energy transition.”
PT Vale will also channel the benefits from the sustainability-linked loan’s interest rate adjustments into community development projects, extending its ESG impact beyond daily production operations.