IBP targets 2012 coal price,production increase

East Kalimantan coal mining firm PT Insani Bara Perkasa (IBP) expects 2012 average price to reach US$ 69 per tonne, higher than this year?s average price target of $59.8 per tonne, parent company PT Resources Alam Indonesia said on Friday.

IBP is hoping to produce 6 milion tonnes of coal next year, upped from this year?s target of 3.5 million tonnes. IBP also expects production cost slightly down to $27.9 per tonnes from this year?s estimated cost of $28.4 per tonne. In 2010, the company?s production cost was $24.5 per tonne.

IBP produces coal with CV ranging from 5,100 kcal/kg to 6,000 kcal/kg (ADB). IBP operates a CCoW concession in Kutai Kartanegara regency with an area of 24,000 hectares. (denny)