Garda Tujuh Buana announces total coal reserves
Thursday, July 15 2010 - 03:00 AM WIB
The company said in statement on Wednesday that the mineable and indicated reserves's figures came as a result of calculations by Indonesian consultant PT Mineserve Citra Teknik.
After relinquishment, the coal mine area controlled by the firm has been reduced to 710 hectares from 1,995 hectares, the company said, adding that it had obtained IUP transportation and sales license for five-year period, starting July 2008.
As per march 2010, the company?s cumulative production is only 134,513 tons.
GTB is unable to sell its coal due to high moisture of 55 percent. The company is using a drier to reduce the moisture content, but thus far it is only able to reduce the moisture to 40 percent, above 15-35 percent moisture content required by most buyers.
GTB said earlier that it had secured long-term coal supply contract with an undisclosed Dubai-based trader. The company said in a report filed with the Indonesia Stock Exchange (IDX) that the trader has given the company US$20 million as down payment for the 10-year contract.
Under the contract, GTB would supply 1 million tons of coal from October 2009 to December 2011, 2 million tons in 2012 and 2.5 MTPA for the rest of the contract?s life. (denny)