Agritrade reports 22% increase in coal output

By Romel S. Gurky

Hong Kong-listed coal mining company Agritrade Resources Ltd reported that coal production from its mines in Kalimantan increased by 22 percent to approximately 5 million tons in the financial year ending March 2017 from 4.1 million tons in the previous financial year.

The company said in a statement that its PT Senamas Energindo Mineral (SEM) mine in Central Kalimantan produced 4.2 million tons of coal, up from 4 million tons.

?In addition, the group enjoys exclusive rights to operate and manage the 41-kilometer Pertamina (oil and gas firm) road between the SEM mine and jetty facilities until 30 September 2022. Consequent to these merits, the group operates the SEM mine at a higher production efficiency with good cost and operational control. The group will continue to look at ways to reduce cost and enhance operational efficiency,? the statement said.

Agritrade said production and the commercial operation of its Rantau Nangka underground mine, also called the Merge Mine, in South Kalimantan, commenced in June 2016. The group produced approximately 361,000 tons of coal from the Merge Mine in the financial year ending March of this year.

The company also operates one coal mine located in Central Kalimantan, namely Bunda Kandung mine, under the contract mining arrangement. The group primarily sells and markets its coal products in Asia.

Editing by Reiner Simanjuntak