Borneo slashing coal output target

By Cepi Setiadi

IDX-listed coking coal mining company PT Borneo Lumbung Energi & Metal Tbk said it has revised downward its coal production target for this year from 2-2.5 million tons to 1.7-1.8 million tons to cope with the sluggish coal market.

?We are also minimizing the stripping ratio and hauling distance and downsizing our operational capacity,? Borneo?s Director Kenneth Raymond Allan told Petromindo.com, said adding that the company will only produce high CV hard coking coal and be focused on serving regular customers.

In 2014 the company was able to produce 2.1 million tons, down from 4.2 million tons in 2012 and 3 million tons in 2013.

Borneo through subsidiary PT Asmin Coalindo Tuhup operates a concession located in Murung Raya, Central Kalimantan.

Editing by Johannes Simbolon