Banpu sees Indonesian coal production at 20MT in 2006

Thai energy conglomerates Banpu Plc. expected its Indonesian coal production would reach 20 million tons in 2006, when its two new mines reached peak production.

Banpu?s Trubaindo mine in East Kalimantan is expected to commence production in the fourth quarter of 2004 with peak production of 6 million tons is expected to be reached in 2006. Mumpun Pandan mine in Southern part of Sumatra will commence production in 2005 with annual capacity of 1 million tons per annum.

Meanwhile, the company is also developing Embalut mine in its Kitadin concession in East Kalimantan, which was expected to be able to boost Kitadin?s production from 2 million tons in 2002 to around 4 million in 2006.

?Indominco Mandiri?s output is seen stable at around 6 million tons per year until 2008, when open pit reserves are fully depleted and Banpu would have to commence underground mining. The balance of around 3 million tons is expected to come from Banpu?s Jorong Barutama Greston mine in South Kalimantan,? said Banpu Indonesia director Phongsak Thongampai in an interview with Petromindo.Com on Wednesday.

Phongsak said the company is likely exceeding this year?s production target of 11.5 million tons by some 500,000 tons. ?Banpu Indonesia?s output for the first half of this year is around 6 million tons and we are expecting smooth operations for the second half of this year,? he said.

Banpu currently operates three producing coalmines; Indominco, Kitadin and Jorong Barutama Greston.(alex)