KPB starts production this September

By Edgar Subroto

East Kalimantan coal miner PT Karya Putra Borneo (KPB) recently stated it has commenced coal production this September. Its initial output volume is between 50,000 and 100,000 tons, a source in the company told Petromindo.com.

KPB is a 50:50 Joint Venture between PT United Coal with an Indian coal and trading company Oorja.

Its most recent exploration result revealed an increase of reserve from 18 million to 50 million tons of coal having 5,800 kcal/kg (ADB) of cv.

KPB's mine is located in Batuah, Loa Janan sub-district, Kutai Kartanegara regency.

Last year, Oorja said KPB mine was expected to start production in Q1 2012 with initial production of 100,000 tons per month, which would increase to 3 million tons per year and further be ramped up to 5 million tons in the following years.

Editing by Er Audy Zandri