Foreign investors ready to do coal mining business in North Barito

Currently 14 coal mining companies, including three foreign newly licensed companies, are ready to explore and exploit for coals in North Barito district, Central Kalimantan.

North Barito regent H. Badaruddin said recently that the entrance of those mining companies into his regency would help the local administration assume the higher responsibility of increased regional autonomy.

He disclosed that representatives of three foreign coal mining companies, all affiliated to BHP Mineral Holding Ltd. of Australia, signed coal mining contracts (PKP2B) with representatives of North Barito administration in Jakarta recently.

The three companies are ready to explore for coals in North Barito. They are PT Lahei Coal with coal mining concession area of 98,230 hectares in Lahei subdistrict, PT Ratah Coal with 99,940 hectares and PT Joloi Coal with 192,340 hectares in Sumber Barito subdistrict. The areas they cover actually are located in the border between Central and East Kalimantan provinces.

Badaruddin said that the three companies would join 10 other coal-mining companies that had secured PKP2B to conduct coal-mining exploration in North Barito and one company equipped with mining concession rights (KP).

Out of those companies, PT MarundaGraha Mineral has reached exploitation stage in its mining concession area of 72,356 hectares in Tanah Siang, Laung Tuhup and Murung subdistricts.

Others are still in their general exploration stage. They include PT Dharma Tejo Kencono with concession area of 131,300 hectares in Noth Barito and also in Kutai, East Kalimantan, PT Asmin Barajaan with 10,990 hectares in Murung and Permata Intan subdistricts, PT Multi Tambang Jaya Utama with 99,350 hectares in North Barito and South Barito districts, PT Kalteng Coal with 91,360 hectares, PT Maruai Coal with 99,600 hectares, PT Pari Coal with 98,910 hectares and PT Sumber Barito Coal with 100,300 hectares.

Meanwhile, the only company that holds concession-mining rights is PT Tamindo Bumi Lestari with concession area of 19,570 hectares, spreading in North Barito, Pasir (East Kalimantan) and Tabalong (South Kalimantan).

Baharuddin said that a number of coal mining companies had not yet started their real activities until their concession periods expired. This happened because of many reasons, including the lack of infrastructure, especially adequate road facilities to transport coal out of North Barito district. (*)