Altura Mining secures mining permit for Tabalong coal project

Australian-listed Altura Mining Limited said it has secured two mining permits (IUPs) to develop its Tabalong coal project in South Kalimantan.

The permits for Tabalong comprises of two IUPs, one held by PT Suryaraya Permata Khatulistiwa (SPK) for the northernmost tenement and the other by PT Suryaraya Cahaya Cemerlang (SCC) for the southernmost tenement, which is split into two blocks -- block 1 and block 2.

The mining permits total 4,411 hectares comprising 2,547 hectares in SCC and 1,864 hectares in SPK. The permits will allow the permit holders to allow coal mining to proceed.

The company recently completed an inspection of third party infrastructure including haul roads, stockpiles and river loading facility near the Tabalong project location.

Negotiations are proceeding with a view to utilizing or sharing this infrastructure. If negotiations are successful considerable reductions in development time and capital expenditure will be achieved.

The Tabalong coal project is planned to commence in 2012 (subject to receipt of the Pinjam Pakai) at an initial production rate of 400,000 tonnes per annum (tpa) of premium grade thermal coal with the plan to ramp up to 750,000 tpa.

The planned operation will consist of a surface mine and simply beneficiated product delivered to an off‐take point on the Barito River located approximately 100 kilometers to the west of the mine site.

Altura is continuing to pursue partnerships and opportunities with an aim of expanding the coal holdings in the Tabalong region and providing access to further coal resources in Indonesia and south‐east Asia generally. (romel)