Abterra bags 1-year coal supply deal with S. Kalimantan coal miner

Singapore listed firm Abterra Ltd, through its Indonesian coal trading unit PT Abterra Resources Indonesia, has bagged 1-year contract to buy 100,000 per month of coal from South Kalimantan coal miner.

The company?s manager Eric Tan told Petromindo.Com on Tuesday that coal supply shipment is expected to start next week with an initial coal shipment of 40,000-50,000 per month. The coal is sourced from PT Borneo Lintas Sarawak (BLS).

The coal prices will be adjusted every three months based on indexes, he said. The coal from BLS has calorific value of 6,300-6,100 kcal/kg (ADB).

According to him, the company is now scouting for more coal to supply its parent company?s business in China. ?We look more coal supply at least around 300,000 tons of coal per month, with calorific value of 5,800-5,600 kcal/kg,? he said.

According to Abterra?s website, Abterra trades coking coal, coke and iron ore in Australia, India, Indonesia and China. Tapping on the competitive advantage of a strong parent company, General Nice Resources (Hong Kong) Ltd., Abterra is able to leverage on its concrete branding and expertise to establish a strong foothold in China. (denny)