Indominco to mine coal in protected forests

Coal mining company Indominco will soon start activities to mine coal in the protected forests in Bontang, East Kalimantan, a company official said over the week-end.

"Indominco will operate an open-pit mine covering about 3,000 hectares areas in the protected forests," said Leksono Poeranto, deputy director of the Thailand-based mining company Banpu in Samarinda, adding that Indominco also has coal concession area of about 7,000 hectares outside the forests.

Leksono said that most part of the protected forest area were no longer by thick forests as many people had thought.

Indominco, part of Banpu, is one of 13 mining companies which have been licensed to mine coal in the protected forest areas in Indonesia.

Indominco produced 6.32 million tons of coal last year. (alex)