Coal miners set to ramp up year-end production

Petromindo|Lucky

Coal miners in the country are expected to boost production in the latter part of this year to compensate for limited production in the first-half due to heavier rainfall.

Executive Director of the Indonesia Coal Mining Association, Hendra Sinadia said that global demand is also expected to pick up ahead of the winter period at a time when production in Australia and China had also been undermined by unfavorable weather condition in the first-half.

?Coal producers are expected to boost production to catch up with the shortfall in the first-half,? Hendra said as reported by Bisnis Indonesia on Monday.

The country?s coal production in the first eight-month of this year ending August stood at only 294.5 million tons, or only around 62 percent of the full-year target of 477 million tons, this portal reported on October 9.

This raises concern that the full-year coal output target may not be achieved. Dadan Kusdiana, Minister of Energy and Mineral Resources Spokesman confirmed that coal production in the January-August period should have already reached around 75 percent of the full-year target. But he said that there are a few months left before the year ends, hoping that the target could be achieved.

The ministry revised upward the coal production target this year to 477 million tons from the 413 million tons set under the government?s medium term development plan, taking into account the hundreds of IUP miners which were expected to start production this year.

Some industry players said that the full-year coal production target may not be realized amid the unusual wet season which has hampered production activities. (*)