Bumi seeks to become Berau Coal marketing agent

Mining giant PT Bumi Resources Tbk is seeking to hold an exclusive right to market coal produced by PT Berau Coal, according to reports.

The company is holding talks with Recapital Advisor, who recently acquired Berau Coal.

"We want to become an exclusive marketer of coal produced by Berau Coal," Bumi's Finance Director Andrew Beckham said on the sidelines of Investor Summit at Ritz Carlton Pacific Place Thursday.

Recapital recently bought 90 percent of Berau for $1.5 billion.

Bumi's Senior Vice President of Investors Relation Dileep Srivastava said by appointing Bumi as exlusive marketing agent, Berau could avail itself of Bumi's marketing network overseas. Bumi meanwhile will get marketing fee.

Berau's mines which are located in East Kalimantan produce coal of export quality with a calorie content of 5,500-6,100 kcal/kg (ADB).(*)