Harum Energy to boost 2012 coal output

Coal mining group PT Harum Energy is expected to produce a total of 14.5 million tons (MT) of coal in 2012 compared to this year's target of 7.4 million tons, the company?s director has said.

Eddy Sumarsono was quoted by Bisnis Indonesia as saying on Tuesday the 14.5 MT coal output will be contributed by its three subsidiaries based in East Kalimantan, that is PT Mahakam Sumber Jaya (MSJ), which is expected to produce around 9 MT, PT Santan Batubara (4 MT) and PT Tambang Batubara Harum (1.5 MT).

MSJ and Santan Batubara have been producing coal, meanwhile PT Tambang Batubara Harum will start commercial operation in next year, he said.

This year, MSJ and Santan Batubara are expected to produce 5.2 MT and 2.2 MT respectively, he said.

Santan Batubara, which is a 50/50 joint venture between PT Indika Energy?s unit PT Petrosea and Harum Energy.

Harum Energy produced 5.8 MT of coal last year, he added.

Harum Energy is offering 24 percent of its shares to the public in a bid to raise fresh funds. The initial public offering (IPO) is now in the phase of bookbulding and the company will formally list its shares on the Indonesian Stock Exchange (IDX) on Oct. 6. (*)