ACK to start coal production Oct

East Kalimantan coal miner PT Agro City Kaltim (ACK) said it will start thermal coal production from its West Kutai regency mien in October this year with coking coal production seen to start the following year.

Coal project Manager Saelan told Petromindo.Com on Tuesday that the company plans to produce 50,000 tonnes of coal per month until year end.

The company plans to step up production to 1.7 milion tonnes (MT) in 2010, which will consist of 1.2 million tonnes of thermal coal and 500,000 tonnes of coking coal.

Salean said talks with offtakers are currently underway, but he did not give further detail.

ACK has three coal prospects namely Linda, Lisa and Lintah. Lisa contain 30 MT of mineable thermal coal with CV range of 5,200 ? 5,700 kcal/kg (ADB). Linda has 3MT of coaking coal reserves with CV range of 6,200-8,400 kcal/kg (ADB)

ACK is currently in the process of completing 84-km haul road to Muara Bahat in Mahakam River, where crushing facility and loading point is located. (denny)