Berau Coal seeks to increase 2003 production

East Kalimantan?based coal mining firm PT Berau Coal is seeking to expand production from 7.5 million tons this year to 8.6 million tons next year, a company executive said.

?The increase is, among other, planned to meet contract volume from Indonesia Power?s Suralaya power plant in Banten which will be doubled to 1 million tons in 2003. In addition, in 2003, we will supply additional 850,000 tons to Taiwan Power Company (TPC) on top of 1 million tons contract for 2003,? said president director Jeffrey Muljono in Berau Monday.

Berau had just bagged one-year 13 x 65,000 tons contract from TPC for 2003.

Jeffrey said sales volume for 2003 is expected to be around 8 million tons.

Berau had revised down its production target from 8.2 million to 7.5 million tons this year.

Berau Coal is 60 percent owned by heavy equipment maker United Tractors (UT) and 30 percent Armadian Tritunggal. The remaining 10 percent is owned by Japan?s trading powerhouse Nissho Iwai. UT has been trying to sell its entire stake at Berau Coal to pay for its maturing debts.(alex/robert)