Apple Coal seeks partner to develop mines
Friday, October 7 2011 - 02:26 AM WIB
The company?s chief development officer, Ben Lawson said that to develop the mines, the company will need around US$100 million of fund. The mine is in Musi Banyuasin regency called PT Intiputra Kanaan (IPK) and PT Sri Bangun Jaya Persada (SBJP) in Kutai Kartanegara regency.
Both mines are expected to start initial production in January 2012. IPK mine is expecting to produce 600,000 tonnes of coal in the first year and ramp-up to 5 million tonnes per annum after 4-year production.
SBJP mine plans to produce around 350,000 tonnes of coal in the first year and the coal will be used for blending purposes to enhance Apple?s current 4 million tonnes per year of trading activities.
Apple has completed JORC compliant drilling at IPK and SBJP sites with reserves of 98 million tonnes and 1 million tonnes, respectively. IPK has a coal quality of approximately 3,900 kcal/kg (GAR), and SBJP has PCI quality coal of 7,900 kcal/kg (GAR). Drilling activities are on-going at both sites and reserves are estimated to increase anywhere from 30-50%.
Apple has also purchased mines within close proximity of the IPK and SBJP mines which will come on-stream, and use integrated infrastructure, within two years of production commencement; allowing sufficient time for further drilling, planning and ramp-ups along with the development of world-class overland and marine transport infrastructure.
Apple Coal has six coal mines in South Sumatra and East Kalimantan.
According to Apple Group?s website, PT Apple Coal Indonesia is a wholly owned trading subsidiary of Apple Commodities Ltd., Hongkong. Apple Commodities Ltd. (Hong Kong) was formed in 2009 as a wholly owned subsidiary of Apple Commodities Ltd. of India. (denny)