KBN close to clinch coal supply deal to China

Local firm PT Karsa Bhakti Nusa (KBN) said its coal-trading unit is close to get deal to supply coal to a power plant in Guangdong province, East Coast of China.

Manager Sabastian Sutarmin told Petromindo.Com on Friday that the company will be supplying 50,000 tonnes of coal with CV range of 5,500-6,000 Kcal/kg per month. He did not disclose the contract duration.

?The main hurdle now is in delivery problem. KBN wants FOB term, while the buyers is asking for CIF,? he said, adding that the coal would be sourced from South Kalimantan suppliers.

If the deal is clinch, this would be KBN?s first international deal, he said. Currently KBN only sold coal to domestic users.(denny)