Antang may start production from new mine in 2008

South Kalimantan coal miner PT.Antang Gunung Meratus may be able to resume full production early next year after Ministry of forestry had indicated to give the company permit to operate the new open pit mine in the forestry area.

A company official, who declined to be named, told Petromindo.Com that forestry permit might be obtained within the next 1-2 months, allowing the company to resume production in January or February next year. Antang had been applying for forestry permit since 2003.

The official said Antang for the first phase will get permit to exploit coal in 2,200 hectares of land, and would be able to produce coal at the rate of 1-1.5MTPA. The area is estimated to have 10 million tonnes of mineable reserves.

Antang produced only 225,000 tonnes of coal from January to October 2007, from what was left from its current mine with revenue only barely enough to pay workers? salaries.

The official said Antang is currently in negotiation with several mining contractors including PT.Pamapersada Nusantara.

According to the official, production from the new mine, will have CV of between 5,000-6,500KCAL/kg. (denny)