Adaro: Indomet Coal to start production next year
Wednesday, December 21 2016 - 04:35 AM WIB
IDX-listed coal giant PT Adaro Energy Tbk (Adaro) is currently preparing a mine plan for its Indomet Coal Project in Kalimantan as it wants the project to start commercial production next year.
This was said Mahardika Putranto, Head of Corporate Secretary of Adaro to Petromindo.com on Tuesday. ?Next year there?s opportunity (to start production). But if asked whether we?re firm with the 1 million tons (production plan), we don?t know yet,? he said. The company in a recent presentation material said that the Indomet Coal Project is expected to have annual production rate of 1 million tons initially.
He explained that the company is currently preparing the mine plan for Indomet to evaluate among others the cost and production capacity. In terms of market, he said that the coal will be exported primarily to China and Japan.
Adaro in October completed the acquisition of BHP Billiton?s entire 75 percent interest in IndoMet Coal Project for US$120 million, thus making Adaro to own 100 percent of the project, which has concessions in Central and East Kalimantan run by several firms including PT Maruwai Coal, PT Juloi Coal, PT Kalteng Coal, PT Sumber Barito Coal, PT Lahai Coal, PT Ratah Coal, and PT Pari Coal.
Editing by Reiner Simanjuntak