Adaro?s nine-month coking coal output reaches 670,000t

IDX-listed coal firm PT Adaro Energy Tbk said that coking coal output from its IndoMet coking coal project in Kalimantan reached 670,000 tons in the nine-period ending September of 2017, compared to full-year target of 1 million tons, Kontan reported on Friday.

The paper quoted Head of Corporate Communications at Adaro Febriati Nadira as saying that the coking coal output was sold to domestic and export markets. ?The coal is sold to customers in Indonesia, Europe and Japan,? she told the paper, but did not provide further details.

Adaro President Director Garibaldi Tohir said earlier that coking coal production from Indomet was targeted to reach 1 million tons in 2017. He said in June that the company has obtained contract from India?s Tata Steel to supply soft coking coal from the IndoMet project.

Adaro owns 100 percent shares in the IndoMet coal project after acquiring a 75 percent stake from BHP Billiton in October of last year. The IndoMet project has now been renamed to Adaro MetCoal Companies, the paper said.

The IndoMet coking coal project comprises of several 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.

Adaro is developing new infrastructure facilities and exploration activities at the coking coal project as the company seeks to ramp up production in the future to meet growing demand for coking coal, used in steel production. The IndoMet project started production last year, but limited to soft coking coal. (*)