Benakat sees delay first coal production to 2012

Indonesia listed firm PT Benakat Petroleum Energy Tbk wish to start first coal commercial production at its West Kutai mine next year, later than initial schedule of second quarter of this year, the company?s director said on Tuesday.

Benakat?s director Firlie Ganinduto said that the delay is caused by infrastructure problems including haul road but he did not give details.

The mine is located in Nyuatan village, East Kalimantan within a concession measuring 9,000 hectares. The company has secured IUP license with PT Delta Samudra as the holder of the IUP.

The company said the mine, which has been granted exploitation license by West Kutai regency administration, has reserves of 45 million tonnes of low calorific value.

Earlier, BPE?s investor relations & corporate secretary Ferdinand Dion told Petromindo.Com that first year's production is estimated at around 300,000 tons and the output will be increased to 600,000 and 1.5 million tonnes in 2012 and 2013, respectively. Peak production is projected at around 4-6 million tonnes, Dion said. (denny)