Indominco to boost East Block coal output

East Kalimantan coal miner PT Indominco Mandiri, a coal unit of Indonesia-listed coal mining group PT Indo Tambangraya Megah (ITM) plans to boost coal production from its East Block to 12.5 million tonnes by 2015, from 9 million tonnes of coal currently, .

ITM?s CFO Edward Manurung said that currently the company is preparing to build integrated conveying system called in-pit crushing and conveying (IPCC) methods to optimize Indominco?s East Block coal mine production. ?We are in preliminary study to build the system,? he said.

Under its 2010-2015 expenditure plan, ITM will spend around US$189 million to build the project.

The East block commenced operations in 2009 and in 2010 produced 4.2 million tonnes of coal. Combined measured resources of Indominco mine is 592.6 million tonnes, including 354.7 million tonnes of the East block.

Indominco has two operating blocks called West block and East Block. Last year, Indominco produced 14 million tonnes of coal. This year it is expecting to produce 14.5-15 million tonnes. (denny)