Coal FE to start first coal shipment in Sept.

Australia listed firm Coal FE Resources Limited is expected to start first shipment from its Abadi coal project in Kutai Kartanegara, East Kalimantan in end of September this year.

Its Indonesian subsidiary PT Techventures Indocoal (PTTI) has acquired 5 ha of land near Kutai Lama river for coal stockpiling and loading, the company said

?The private stockpile area has been cleared and the first layer of overburden has been removed. The jetty area is now being widened to accommodate a more efficient movement of barges coming in and out the jetty area. The extension of the jetty will be completed mid August 2010, followed by the weighbridge and crusher end of August 2010,? it said.

The company did not give shipment and production figures.

PTTI will jointly manage and administer the mining activities of the project with PT Toba Jaya, a subsidiary of Malaysian company Kok Ann Construction Works (M) Sdn Bhd.

Ravensgate Minerals Industry Consultants had upgraded the Abadi?s measured resource to about 27.5 million tons (MT) from 0.4 MT. Categorized resource has been increased to 34.5 MT from 27.2 MT.

The Exploitation Licence has been issued for the Abadi Project encompassing an area of 991 hectares for a period of 16 years expiring on Dec. 18, 2024. (denny)