Indowana to start trial coal production in October
Tuesday, July 18 2017 - 03:07 AM WIB
Petromindo|Khalsa
East Kalimantan coal mining company PT Indowana Bara Mining Coal (IWBMC), a subsidiary of IDX-listed PT Sekawan Intipratama Tbk, said it plans to start trial production in October of this year, a delay from the initial plan of last year.
?Initial trial production (will be) in October 2017 as long as all infrastructure are ready by September 2017,? Sekawan said in a statement on Monday, but did not provide further details of the production plan. Sekawan owns 90 percent of Indowana.
Indowana owns a 5,000-ha coal concession in West Kutai Regency, East Kalimantan, with coal resources estimated at 533.31 million tons, and reserves estimated at 288.1 million tons.
Indowana said in August of last year that trial production was expected to be started in the fourth quarter of the year, with full production to start in 2017. In the initial stage, Indowana would run production at a rate of about 20,000-30,000 tons per month.
Elsewhere, Sekawan said that Indowana will select contractor to carry out overburden removal, hauling, and other services. The company plans to offer its low rank coal with CV of 3,900 kcal/kg at an initial price estimate of US$23 per ton FOB.
Editing by Reiner Simanjuntak