Indonesia Power still in coal price negotiation with Adaro, PTBA
Thursday, January 19 2012 - 10:20 AM WIB
PT Indonesia Power (IP), a subsidiary of state electricity firm PT PLN (Persero) is still negotiating the 2012 coal price with state-owned coal mining company PT Bukit Asam (Persero) Tbk and the country?s second largest coal producer PT Adaro Indonesia
Djoko Hastowo, President Director of IP, said that at present IP and both miners have not yet reached an agreement on the price of coal to be supplied to IP's power plants within the 2012 period. He however did not provide detailed figures of the supply volumes from both miners.
Meanwhile, he said that IP has 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 10,000 MW govt?s power plant program which have been operated under 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.
Under the existing contract, PTBA supplies IP?s Suralaya power plant with 6.1 million tonnes of coal per annum with a plus minus 10 percent swing.
Berau Coal has a 10-year contract with IP to supply 3 million tonnes (?5%) per annum of coal, starting Jan 2008.
Editing by Denny H. Tarigan