Bharinto still waiting govt approval to start coal production

Coal miner PT Bharinto Ekatama, a coal unit of Indonesia-listed coal miner PT Indo Tambangraya Megah (ITM), which is an Indonesian unit of Thai energy conglomerate Banpu Plc is still waiting an approval from the directorate mineral and coal to start coal production from its mine.

?We don?t know when the approval will be given by the directorate. We hope soon,? the source told Petromindo.Com.

Once the approval is issued, Bharito can immediately start its coal production. The coal will be transported through about 90-kilometer haul-road to Bunyut river in West Kutai regency.

ITM said in March, that Bharinto Ekatama will start production in the fourth quarter this year with initial 2011 production of 200,000 tonnes.

Bharinto, which third generation of Coal Contract of Work (CCoW) holder, is located in West Kutai regency, East Kalimantan and in Barito Utara regency, Central Kalimantan, covering an area of 22,000 hectares. The mine location is adjacent to ITM?s other mine PT.Trubaindo Coal Mining, which is currently in production.

Bharinto has secured construction permit from the government since August 2007, but the company has not started significant production activities in the mine.

The mine will produce coal with CV range of 6,400-6,800 Kcal/kg (ADB). (denny)