Jembayan to achieve 2010 production target despite loader collapse: Straits

Singapore Exchange-listed coal miner Straits Asia Resources Limited said its Jembayan Muara Bara (JMB) mine in East Kalimantan will be able to achieve production target of 9 million tonnes next year despite the collapse of its newly completed outloader.

CFO Graeme Tivey told Petromindo.Com on Tuesday that JMB will push the limit of old outloader to its maximum capacity of 7MTPA and is considering alternatives either to borrow loader from neighboring mine or to conduct direct truck-to-barge operations to load the remaining 2MT.

?We?re optimistic production target of 9MT could still be achieved in 2010,? he told Petromindo.com.

He said Straits has decided to abandon the collapsed loader and replace it by the new one with similar capacity of 5.5 MTPA. He said construction of the new loader will take 12 months.

Straits last Thursday reported that JMB?s newly completed loader has collapsed due to heavy rain.

Straits constructed new loader at JMB as part of its plan to expand JMB?s capacity to 11-12MTPA.(denny)