India?s GMR, Bumi Laut in coal barging deal

Friday, January 6 2012 - 06:55 AM WIB

By Denny H. Tarigan

South Sumatra coal miner PT Barasentosa Lestari (BSL) plans to start trial low-rank coal production this month from its coal mine in Musi Banyuasin and Musi Rawas regencies, an industrial source told Petromindo.Com.

?Barasentosa expects to start trial production shortly,? the source said. At present, the company is constructing coal port in Musi river, which the distance only 7-km away from the mine but the river port can only receive a barge with a capacity of 1,000 tonnes.

The company is teaming up with shipping firm PT Bumi Laut Group to bring its coal from the mine to Tanjung Labo port, which from Tanjung Labo, the transportation of coal will use a bigger barge to Tanjung Api-Api coal terminal to load into mother vessel.

For the trial shipment, the company will sell its coal to local market, the source said without giving further details.

This year, the company plans to produce around 750,000 tonnes of low-rank coal. To achieve the target, the company will transport its coal from the river port and also with the current national road transportation.

In the long term the company plans to build its own hauling road. The company is still trying to obtain permit from local and central government to build the hauling-road.

BSL is a coal contract of work (CCoW) holder which has so far discovered 300 million tonnes of coal resources

BSL is wholly-owned by Indian firm GMR Group.

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