IP temporarily suspends new Tabang jetty construction

By Edgar Subroto

Mining contractor PT Indonesia Pratama (IP), a unit of IDX-listed coal mining group PT Bayan Resources Tbk, has temporarily suspended the construction of a planned jetty at the Empaku area within its Tabang project in East Kalimantan, pending the completion of a detailed review of the required material handling infrastructure, the parent company said.

IP has completed the construction of a 70-km haul road eastward to the Empaku jetty at Kedang Kepala river, where 3000-ton barges can be loaded with coal all year round.

IP is also in the process of completing a loading facility at Empaku. ?The loading facility has been completed around 85%,? Bayan said.

With the suspension of the Empaku jetty, IP continues to use existing barge loading facilities a Gunung Sari jetty on the Belayan river. Coal haulage from Tabang project to Gunung Sari jetty is about 30 km, while barging down Belayan river to Mahakam river is about 181 km, and then barging down from Mahakam river to Balikpapan Coal Terminal is about 340 km

The Tabang project comprises of three Bayan?s coal mine units namely PT Fajar Sakti Prima (FSB), PT Bara Tabang and PT Brian Anjat Sentosa. The Tabang project has produced 2 million tons of coal in 2012 compared to the previous year of 1.7 million tons.

Tabang project is estimated to produce around 3 million tons of coal for this year. The calorific value of the coal is 4,200 kcal/kg (GAR) with total moisture of 33% and low sulphur content of 0.1%

Bayan has entered into offtake deal with South Korean utility KEPCO for the project output, which involves the supply of 5 million tons of coal per annum to KEPCO?s power plants, starting 2015.

Editing by Reiner Simanjuntak