Adaro, PTBA expect to export more coal to Japan

Indonesia?s two major coal producers PT Adaro Energy and state owned coal mining company PT Bukit Asam (PTBA) expect that they will be able to export more coal to Japan following the closure of nuclear power plants in the country recently.

Garibaldi Thohir, the President Director of Adaro Energy said that Japan had become more promising market for coal producers following the closure of the nuclear plants. At present, Japan would prioritize non-nuclear power plants such as gas-fired and clean coal-fired power plants in providing electricity to the country, Garibaldi said. The change in the energy policy will increase the country?s need for high grade coal, he added.

Presently, Adaro exports 4.5 million tons of coal to Japan. ?The Japanese government will likely promote clean coal energy technology. It means there will an increase in the coal needs,? he said. ?Although there is an opportunity, we will stick to our policy that export to a country could not exceed 10 percent of our total production,? he added.

Meanwhile PTBA?s Corporate Secretary Joko Pramono said that the company also expected additional exports to Japan due to the change in the country?s energy policy. ?The opportunity to increase exports to Japan is still widely opened,? he added.

At present, PTBA produces about 7.89 million tons of coal a year. About 65 percent of the total production are sold in the domestic market and the other 35 percent are exported. ?About 6 percent of the total exports go to Japan,? he added. (*)