Bara Kumala Sakti to cut coal output

By Cepi Setiadi

Indonesia coal mining company PT Bara Kumala Sakti (BKS), will cut its coal production from its concession in Loa Janan, Kutai Kertanegara, East Kalimantan this year due to low coal prices.

President Director of BKS Abhiram Singh Yadav told Petromindo.com on Wednesday that the company will maintain its coal production at the level of 250,000 to 300,000 tons per month.

?Last year, we were able to produce about 350,000 tons per month, but due to the persisting market downturn, we will cut our production target. Basically, our target for this year aims to keep the company?s operation in a stable condition,? he said adding that the company?s coal production are mostly exported to China and India.

?We will wait and see the market situation. In March 2015 there will be a new policy on coal in India that will influence the market. We are holding out a big hope for India market,? he said without elaborating.

Bara Kumala Sakti has a 2,000 ha IUP concession in Loa Janan. It produces coal with CV of 5,000 kcal

Editing by Johannes Simbolon