Indonesian coal producers supply 6.5MT to Kospo

South Korean power utility Korea Southern Power Co. Ltd. (Kospo) has consumed 13 million tonnes per annum (MTPA) of coal until 2014-2015 to generate its power plants in South Korea.

After 2015, the company will need more coal, especially low rank coal, the company?s official told Petromindo.Com. At present, Kospo is building coal-fired power plant in South Korea with a capacity of 2x1000 MW designed to be fired by low-rank coal. The power plant is expected to be completed in 2015.

At the present, of the total 13 MTPA, around 50 percent or about 6.5 million tonnes (MT) is supplying from Indonesian coal miners, include Bumi Resources, Harum Group, Indominco Mandiri, a unit of PT Indo Tambangraya Megah (ITM) and Baramulti Group, the official said.

For next year, the company has also secured its coal supply, but according to the official there is still opportunity to supply the coal with calorific value of 5,500 kcal/kg (GAR) to the company as long as the price is ?reasonable?, without giving the figure.

Kospo has acquired 10 percent stake at PT Kedap Sayaaq in June this year, which has a coal mine in West Kutai regency, East Kalimantan.

The mine is expecting to start coal production in early next year with volume of 2 milllion tonnes of low rank coal in the first year and ramping-up to 3 million tonnes in 2013. (denny)