IBP?s 2009 coal output increase by 30%

East Kalimantan coal miner PT Insani Bara Perkasa (IBP), a subsidiary of IDX-listed firm PT Resources Alam Indonesia (RAI) produced 1.008 million tons of coal in 2009, a 30.46 percent increase from 772,601 tons in the same period of last year.

The company said in its annual report on Wednesday that the increase in 2009 coal production because the company had started production at new block. ?With the operation of the new block, IBP is now producing at three blocks, respectively called Simpang Pasir, Gunung Pinang and Purwajaya,?

Another block called Bayur has temporarily stopped production because its bulk sampling permit already expired, it said.

The firm sold 945,015 tons of coal last year, 19.65 percent up compared to last year?s sales at 789,837 tons.

IBP plans to increase production significantly to 2.85 million tons this year.

IBP exports 92 percent of its coal with India as the biggest market absorbing 41 percent of the production, followed by China (27.6%) and South Korea (15%).

IBP, which is a coal contract of work (CoW) holder, has mineable reserves of around 19 million tons with CV ranges from 5,200-6,300Kcal/kg. (denny)