Coal production to exceed 416m tons

Indonesia?s coal production this year is estimated to exceed 416 million tons, said coal chief at the Ministry of Energy and Mineral Resources Bambang Tjahjono Setiabudi as quoted by Bisnis Indonesia on Monday.

Bambang said that coal output per early November has reached 346 million tons, and another 70 million tons is expected in the remaining period of this year.

He, however, said that the expected coal output for this year was still within the government?s target of 400-410 million tons.

He added that the country?s annual coal output going forward would be about this level as the government has been determined to limit annual output at around 400 million tons.

Director General of Mineral and Coal at the ministry R. Sukhyar said that in addition to limiting output, the government would also limit export as more coal would be used at home particularly as fuel for power plants. He said that the domestic market obligation (DMO) for this year has been raised by 25 million tons to 115 million tons.

He added that if about two-third of the government?s plan to develop a total of 35,000 MW of new power plants over the next five years will be fueled by coal, it would require around 200 million tons of coal per year. (*)