TY - JOUR
T1 - SPONGE IRON PLANT FEASIBILITY STUDY IN KALIMANTAN, INDONESIA
AU - Wibowo, Nurhadi
AU - Nurcahyo, Rahmat
AU - Gabriel, Djoko Sihono
N1 - Publisher Copyright:
© 2006-2019 Asian Research Publishing Network (ARPN). All rights reserved.
PY - 2019/12/10
Y1 - 2019/12/10
N2 - The abundance of mineral resources in Indonesia especially iron ore and the regulations supporting mineral and coal mining to producer search that aims to estimate the feasibility of an investment and the cost of investment development of iron ore pellets processing industry in Indonesia, to evaluate the feasibility of various analysis consists of market analysis, technical analysis, organizational analysis, and financial analysis. This study analyzed the risk of financial investments and taking into account the financial resources and ability to repay the cost of principal and payment of interest on the loan from the bank with an interest rate of 14%. Capital budgeting calculations were done, resulting NPV IDR 84,589,784,996 and IRR 39,18% making investment development of iron ore pellets processing industry can be said to be feasible because the IRR is above the MARR value that is equal to 20%. Sensitivity analysis showed that the factors that affect the investmentare the selling price of raw materials and finished product supporter and a price that will be sold to the market.
AB - The abundance of mineral resources in Indonesia especially iron ore and the regulations supporting mineral and coal mining to producer search that aims to estimate the feasibility of an investment and the cost of investment development of iron ore pellets processing industry in Indonesia, to evaluate the feasibility of various analysis consists of market analysis, technical analysis, organizational analysis, and financial analysis. This study analyzed the risk of financial investments and taking into account the financial resources and ability to repay the cost of principal and payment of interest on the loan from the bank with an interest rate of 14%. Capital budgeting calculations were done, resulting NPV IDR 84,589,784,996 and IRR 39,18% making investment development of iron ore pellets processing industry can be said to be feasible because the IRR is above the MARR value that is equal to 20%. Sensitivity analysis showed that the factors that affect the investmentare the selling price of raw materials and finished product supporter and a price that will be sold to the market.
KW - Capital budgeting
KW - Feasibility study
KW - Sponge iron
UR - http://www.scopus.com/inward/record.url?scp=85120781387&partnerID=8YFLogxK
M3 - Article
AN - SCOPUS:85120781387
SN - 1819-6608
VL - 14
SP - 4013
EP - 4020
JO - ARPN Journal of Engineering and Applied Sciences
JF - ARPN Journal of Engineering and Applied Sciences
IS - 23
ER -