Alfa coal unit signs $45m coal mining contract

By Romel S. Gurky

IDX-listed coal and energy company PT Alfa Energi Investama Tbk said that its East Kalimantan coal mining subsidiary PT Alfara Delta Persada (ADP) has signed a three-year contract with coal mining contractor PT Artha Bangun Energi (ABE) worth US$45 million.

Alfa said in a statement on Friday that under the contract, ABE is targeted to produce 2.5 million tons of coal, and 22.5 million bank cubic meters of overburden removal volume.

ADP operates a 2,089-ha coal concession in Kutai Kartanegara Regency, East Kalimantan Province under an IUP mining permit issued in 2011. The company also holds an export license, according to Alfa website.

Editing by Reiner Simanjuntak