GEMS on track to meet 2017 production

By Alexander Ginting

Petromindo

IDX-listed coal mining firm PT Golden Energy Mines Tbk (GEM) is on track to meet production and sales target of this year.

CEO Bonifasius told Petromindo.Com in an interview on Wednesday that until the first quarter of this year, production has reached 3 million tonnes and sales of 3.4 million tonnes. The company produced 1.98 million tonnes and sold 2.680 million tonnes in the same quarter of last year.

?GEM exceeded production target of this quarter, and I am confident that this year?s production target will be reached,? Bonifasius said. This year GEM is aiming to produce 14.350 million tonnes and sell 15.375 million tonnes to overseas and domestic customers. Some 80 percent of the production will come from its South Kalimantan unit PT Borneo Indobara (BIB) with the balance produced from its Jambi mine PT Karya Inti Mining.

Last year, GEM produced and sold 9.5 million tonnes and 15.37 million tonnes of coal, respectively.

Bonifasius said that as GEM?s 2017 output has been 70 percent contracted.

GEM is planning to expand production of BIB to 24 million tonnes annually in the enxt five years, banking on the increased coal consumption in domestic market as well as export market.

GEM is a unit of Indonesian Resources giant Sinar Mas Group.