Bhatia in spot deal with Baturona for Sept. delivery
Baturona coal opens for October spot delivery
Friday, July 22 2011 - 03:26 AM WIB
The company has a deal with Bhatia for a price of around US$45 a tonne, the official said. The cargo for Bhatia is the second cargo from Baturona to Indian market after the company has sold to another Indian trader Gupta in May this year under spot term, the official said.
The company sends most of its coal to China and some to the local cement producer. ?We have commitment to supply the Chinese buyers with panamax vessel of coal every month until December 2011,? the official said earlier.
The company is also looking for spot buyer for October delivery, the official added.
Baturona plans to ramp up its coal production to 3 million tonnes-all of low-rank type-next year, from 80,000-100,000 tonnes per month at present.
Baturona holds third generation Coal Contract of Works (CCoW) and owns a coal mine in Musi Banyuasin regency, South Sumatra. Baturona started coal production in May 2009 but the volume was still small. It produces coal with heating value of 5,200kcal/kg (ADB) with TM varies from 30-50%.
Baturona is a coal unit of Alas Watu Utama (AWU) Group. (denny)