Asia Agri to acquire coal mine in East Kalimantan

By Adianto P. Simamora

Asia Agri Energy, the largest coal trader in Thailand, would acquire coal mine in East Kalimantan as part of the company?s plan to expand its business from trader to miner this year.

The source of company said that it was under intensive talks with owner of a greenfield in East Kalimantan.

?We will have the first mining concession in Indonesia this year. The negotiation is almost on final stage,? the source said, adding that the company would soon set up PT Asia Agri Energy to realize its target.

The targeted concession, said the source, has about 30 million tons of reserves. ?We hope to produce over 100,000 tons per month in the first year of its operation,? the source said.

Asia Agri Energy said that it would sell about 3 million tons of coal with CV of over 4,500 kcal/kg (GAR), mostly from Kalimantan to international market including China, India and Thailand.

Editing by David Mustakim