Banpu reports 11% increase in Indonesian coal sales
Wednesday, February 22 2012 - 03:51 PM WIB
Thai energy conglomerate Banpu PCL reported on Wednesday that its Indonesian coal sales in 2011 increased by 11 percent to 24.64 million tonnes, mostly attributed to improvement in mine planning.
Coal sale from Indominco increased slightly 2% to 14.86 million tonnes as production from East Block gradually replaces the depleting West Block.
At Trubaindo, production from new pits enabled the mine to achieve 26% higher sale to the record 6.81 million tonnes with minor disruption of shipment in early December caused by the bridge-collapse incident in Kalimantan.
The re-opening of Kitadin-Tandung Mayang contributed 0.43 million tonnes to sale with further increase expected in 2012. The other medium-sized mines, Jorong and Kitadin-Embalut, also recorded higher sale of 1.43 million tonnes and 1.18 million tonnes respectively.
Average coal selling price from Indonesian mines increased remarkably by 30% to USD 97.06 per tonne, helped by the firm increase of 23% in average benchmark coal price during the year despite the weakening global economic outlook. The advantage of having higher proportion of premium coal sale in the product mix also paid off during the year. The increased selling price led to higher profitability despite rising diesel cost by 36%. The gross profit margin for Indonesia improved from 44% to 50% in 2011.
Banpu operates five producing mines in Indonesia namely Indominco Mandiri, Kitadin and Kitadin Tandung Mayang and Trubaindo, all of which are located in East Kalimantan, and Jorong Barutama Greston in South Kalimantan. Banpu lists its Indonesian mines at the Indonesia Stock Exchange through its subsidiary PT Indo Tambangraya Megah Tbk.
Editing by David Mustakim