Indonesia's largest cement producer PT Semen Gresik (JSX:SMGR) has said it will spend up to US$300 million next year to build two new factories with total capacity of five million tons a year.

The first factory would be built in Pati, Central Java and the second in Pangkep, South Sulawesi, an official of the state company said.

Semen Gresik would also start the construction of 10 coal-fired power plants with a total capacity of 410 megawatts to cost US$573 million, Vice President Heru D. Adinegoro said.