Indonesia Power cuts coal supply from PTBA
Monday, January 11 2010 - 06:31 AM WIB
State electricity firm PLN said its unit PT Indonesia Power (IP) is seeking to cut 2010 coal supply from IDX-listed state coal mining firm PT Tambang Batubara Bukit Asam (PTBA) due to excess inventory at its Suralaya power plant in Banten province.
PLN?s Primary Energy Director Nur Pamudji told reporters that IP would only buy 4.4 million tonnes of coal in 2010 out of the contracted volume of 6.1 million tonnes annually.
Beside excess inventory, IP is looking to maximize contracts with its other main suppliers such as PT Adaro Indonesia and PT Kideco Jaya Agung, he said.
PTBA CEO Soekrisno said in December that IP has cut coal buy from PTBA by 500,000 tonnes to 5.6 million tonnes in 2009.
Both PTBA and IP are currently negotiating 2010 coal price, which is expected to be sealed in February this year. (denny)