ABK in coal supply talks with ENDESA

East Kalimantan coal miner Anugerah Bara Kaltim Group (ABK) is in talks with ENDESA over term coal supply contract after the miner has secured one year contract from the Spanish utility firm in 2007.

General Manager Martusin Yapriadi told Petromindo.Com on Thursday that ABK might able to supply maximum of 500,000 TPA of coal to ENDESA under term contract, which duration would likely be for 3 years. “Talks are still ongoing and no decision had been made so far,” he said.

Martusin said that the group had secured contract of 300,000 tonnes of coal from ENDESA for 2007 delivery and thus far two panamaxes of coal had been shipped. ENDESA requires coal with CV of 5,400 Kcal/kg (NAR), he said.

ENDESA is looking to import 5MTPA of Indonesian coal starting 2008 to fuel its 1,400-MW As Pontes power plant in La Coruna.

ABK produces coal from its two mines in East Kalimantan, operated by PT.Anugerah Bara Kaltim and PT.Jembayan Muarabara.

Martusin said the group’s 2008 planned output of 7.3-7.5 MT had been 70-80 percent contracted to export market such as Japan, India, South Korea, Taiwan and Europe. (denny)