Baramulti obtains renewal of permit to use forest area in S. Kalimantan
Wednesday, August 30 2017 - 11:09 AM WIB
IDX-listed coal firm PT Baramulti Suksessarana Tbk said that its subsidiary PT Antang Gunung Meratus (AGM), which operates coal concession in South Kalimantan, had on June 9 received a decree from the Investment Coordinating Board regarding the extension of permission to borrow and use a forest area for coal production operations and supporting facilities.
?The area was revised from 521.39 ha to 358.78 ha. This Decree is valid until July 1, 2029,? Baramulti said in a statement obtained Wednesday.
The company said that following the affectivity of this decree, the decree of the Minister of Forestry dated November 19, 2008 shall not be applicable. It did not provide further details.
According to Baramulti?s website, AGM holds a 30-year second generation coal mining contract of work for a 22,443-ha concession in South Kalimantan starting July 1999.
Baramulti President Director, Khoirudin told Petromindo.com in July that the company was opening up a new coal pit at the AGM concession, and hoped to be able to produce 600,000 tons of coal this year from the new pit, with calorific value 3,800 kcal/kg (GAR).
He added that a potential customer has expressed interest for the coal from the new pit, initially on trial basis. He declined to provide details.
Baramulti plans to increase coal production this year to around 10 million tons from 7.94 million tons last year from its AGM concession, and from another concession in Loa Janan, East Kalimantan Province, operated by the company itself.
Editing by Reiner Simanjuntak