Delta returns coal concessions to government

By Romel S. Gurky

Petromindo|Khalsa

IDX-listed coal mining services company PT Delta Dunia Makmur Tbk said it has decided to discontinue for good its coal mining operations, run by two subsidiaries, as it will focus on the coal mining services business.

Delta said in a statement on Tuesday it will return to the government the coal concessions of its subsidiary PT Pulau Mutiara Persada (PMP), whose IUP exploration permits in two villages in Jambi Province have expired in March 2014 and May 2016.

The company added it would also return to the government the concession of another subsidiary PT Banyubiru Sakti (BBS) in East Kalimantan as the IUP mining license has also expired.

Delta has previously suspended the mining activities at the two subsidiaries following the coal price drop in recent years.

Delta said it would now focus on its main coal mining services subsidiary PT Bukit Makmur Mandiri Utama amid rising demand for the services in the wake of the current recovery in coal price.

Editing by Reiner Simanjuntak