E. Kutai regency halts Damanka coal mining activities

The local authority of the Kutai Tumur regency in East Kalimantan has prohibited PT Damanka Prima Coal (DPC) from conducting mining activities in its concession area in Sangatta until it fulfils all the required permits, Kaltim Pos reported on Wednesday.

Subiyanto, the secretary of the local authority?s mining office, said in on Tuesday that his office had found during a recent inspection that the company had not fulfilled all the required permits to conduct mining activities.

According to him, the company, for example, has not yet obtained a permit for the use of public roads in transporting its coal.

?The company has not also transferred the guarantee for the reclamation for post-mining activities, as well as the document of the environmental impact analyses for its stockpiles,? he said.

DPC is coal unit of IDX-listed firm PT ATPK Resources. DPC plans to start coal production in early 2009 with initial production of 20,000 tons per month and will ramp up the output to 40,000 tons per month in the next couple months, the company said in August 2008. (*)