Bumi: 2017 cash cost to be 5% higher
Monday, February 13 2017 - 06:18 AM WIB
Petromindo|Thomas
IDX-listed coal giant PT Bumi Resources Tbk said that production cash cost this year is estimated to increase by 5 percent compared to last year?s US$27 per ton.
"Largely (production cost) depends on fuel," Dileep Srivastava, Bumi's Director told Petromindo.com on Monday.
Dileep added that the stripping ratio this year to be 5 percent higher at 7.2x compared to 6.9 last year due to extra production of more than 5 million tons of high CV coal from Arutmin. "Bumi's long term average strip ratio of coal is 7.0," he said.
He added that about 60 percent of the company?s planned 94 million tons coal output this year has been committed to buyers. "This would rise to 75 percent by end March or early April as annual Japan contracts for April'17 or March'18 are finalized," he ended.
Editing by Reiner Simanjuntak