IP, PTBA negotiate volume, price of 2011 coal supply
Friday, November 5 2010 - 03:04 AM WIB
PT Indonesia Power (IP), a subsidiary of state electricity firm PT PLN (Persero) is negotiating with publicly-listed coal mining company PT Tambang Batubara Bukit Asam (PTBA) to increase coal supply to its Suralaya 3,400-MW coal-fired power plant in Banten in 2011.
?We are still negotiating to settle the 2011 volume and price for Suralaya. Actually, we wants more coal from PTBA, but so far, PTBA said that they could only supply a maximum 7.1 million tons (MT),? President director Djoko Hastowo told Petromindo.Com on Thursday.
Under the existing contract, PTBA supplies Suralaya power plant with 6.1 MT of coal per annum with a plus minus 10 percent swing. The minimum supply is thus 5.5 MT.
The negotiation is expected to be concluded this month, he said.
He did not however give details about price. For 2010, PTBA sells its coal to IP at the price of Rp 685,000 (US$= Rp 8,935) per ton CIF. (giok)