Delta Dunia, Bayan unit extend mining contract deal

By Alexander Ginting

IDX-listed firm PT Delta Dunia Makmur Tbk reported on Wednesday that its coal mining subsidiary PT Bukit Makmur Mandiri Utama (BUMA) has extended mining contract with East Kalimantan coal miner PT Perkasa Inakakerta (PIK) worth US$820 million for another 5 years until December 2017.

PIK is a subsidiary of IDX-listed coal mining group PT Bayan Resources Tbk.

Under the deal, Buma will remove 261 million bcm of overburden and transport 29 million tonnes of coal, Delta Dunia said.

Earlier in December 2011, Buma has also extended mining contract deal with another Bayan subsidiary PT Gunungbayan Pratamacoal for another 5 years until 2017. Under the $640 million worth deal, Buma will remove 260 million bcm of over burden with option for additional removal of 50 million tonnes.

Editing by David Mustakim