Darma Henwa eyes two new Arutmin contracts

By Thomas Sembiring

IDX-listed mining services company PT Darma Henwa Tbk is seeking to win two new mining contracts this year from its key traditional client coal giant PT Arutmin Indonesia.

?The company is eying two coal projects namely Satui coal mine and Mulia coal mine owned by Arutmin in South Kalimantan,? said Darma Henwa President Director Wachjudi Martono last week.

Production activities at Satui and Mulia coal mines have been suspended by Arutmin since early last year pending the appointment of a new mining contractor. Darma Henwa is looking to grab this opportunity, Wachjudi said.

He said that the company was still in negotiation with Arutmin and the previous contractor, hoping that mining activities could be resumed in the latter part of this year.

?Average production (from the two mines) in the first year could probably reach around 6.5 million tons, and to increase to around 10 million tons in the second and third year,? said Darma Henwa Director Thekepat Gopal Sridhar.

Editing by Reiner Simanjuntak