Insani Bara Perkasa plans to boost coal output next year

East Kalimantan coal miner PT Insani Bara Perkasa (IBP), a subsidiary of IDX-listed firm PT Resources Alam Indonesia (RAI) has targeted to increase its coal output to 2.35? 2.8 million tons next year.

?This year, the company?s production stands at 800,000 tons, while sales totalled Rp 223.9 billion as of the third quarter of 2008, rising by 651 percent from Rp 29,8 billion in the same period last year,? RAI?s Director Luiyianto Yamin said on Friday.

IBP exports 80 percent of its production to Asia market such as India, Japan, Malaysia, Thailand and the Philippines while the balance goes to domestic market, he said.

In a report filed on Jan. 23, 2008 with the IDX, the company said IBP will increase production to 1.5 million tons this year from a mere 178,000 tons last year as a result of development of new pits. The output would be further ramped up to 3 million tons per annum starting 2010, the company said.

According to the report, IBP, which is a coal contract of work (CoW) holder, has mineable reserves of around 19 million tons with CV ranges from 5,200-6,300Kcal/kg. (Bernard)