Indonesia Power, PTBA reach deal on coal price
Monday, March 5 2012 - 05:07 AM WIB
PT Indonesia Power (IP), a subsidiary of state electricity firm PT PLN (Persero) has reached a deal with state-owned coal mining company PT Bukit Asam Tbk on coal price that is valued at Rp 825,000 per ton or around US$90 on a CIF (cost insurance freight) term, under which Bukit Asam would be responsible for other costs including freight.
"The deal on coal price with Bukit Asam was made last week," Djoko Hastowo, President Director of IP told Petromindo.com without elaborating on the total of coal to be supplied by Bukit Asam - the largest coal producer in Sumatra.
Under the previous contract, PTBA supplies IP?s Suralaya power plant with 6.1 million tons of coal per annum with a plus minus 10 percent swing.
Earlier, IP has also reached agreements on coal prices with other coal miners, including with East Kalimantan coal miners PT Kideco Jaya Agung and PT Berau Coal, and also with PT Oktasan.
IP has several coal-fired power plants, including its existing Suralaya 3,400-MW coal-fired power plant in Banten and new power plants under the government's 10,000 MW power plant program which have been operated by IP since 2009, namely, the 1x625 MW New Suralaya power plant, 2x300 MW Labuan power plant in Banten, 3x315 MW Lontar power plant in Banten and 3x350 MW Pelabuhan Ratu power plant in West Java.
Editing by Adianto P. Simamora