Kideco selected to supply coal to Cilacap power plant

East Kalimantan-based coal producer PT Kideco Jaya Agung said Tuesday it had received a confirmation that it has been selected to supply about 500,000 tons of coal annually to the Cilacap coal-fired power plant in Central Java.

?We are working on the contract details,? Kideco?s managing director Kim Sung Kook told Petromindo.Com.

Kim said Kideco would deliver around 200,000 tons of coal for the remaining of this year. The contract is effective for 5 year.

The 2x300-MW power plant is currently being constructed by a joint venture of the state-owned electricity PT PLN?s subsidiary PT PJB and PT Sumber Energi Sakti Prima.

According to PLN, the first unit of the power plant is scheduled to commence operation in October this year.

Meanwhile, a source close to the deal said Tuesday aside from Kideco, the operator of the power plan had selected PT Adaro Indonesia and PT Jorong Barutama Greston as coal suppliers to the power plant.

The source said Adaro was ordered to supply around one million tons of coal, while Jorong was for 500,000 tons. (alex)