India?s Maduchon starts S. Sumatra coal production

PT Maduchon Indonesia, an Indonesian coal mining unit of Indian firm Madhucon Projects Limited, has started commercial production at its Dawas mine in South Sumatra, the company?s official told Petromindo.Com on Tuesday.

?We just started our coal production and we expect to produce 50,000 per month in the next couple of months,? the official said.

The official also said that the coal is still available for any interested buyers. The calorific value of the coal is varied between 5,000 kcal/kg and 5,600 kccal/kg (ADB) with total moisture 45%, the official said.

?We hope to make our first shipment in the next two months,? the official said.

Madhucon is developing a number of power plants with a combined capacity of 1,920 MW in the Indian state of Andhra Pradesh in three phases. The second phase involving the development of a 300 MW power plant has just reached the financial closure with operation seen to commence in 2012. The third phase will involve development of a 2x660 MW power plant.

Some of the coal for the power project would be sourced from Madhucon Indonesia. (denny)