KPC aims to increase production by 8.5% in 2017

Coal miner PT Kaltim Prima Coal (KPC), a subsidiary of IDX-listed coal giant PT Bumi Resources Tbk, expects to increase its production by around 8.5 percent to 64 million tons in 2017, from the estimated 59 million tons this year, with support from technological innovation installed in its conveyor belt system.

?Next year, we want our production to reach 64 million tons, but we can?t really say that since we first have to obtain government approval for our production volume target,? KPC general manager for coal processing and handling Poltak Tarcisius Sinaga said on Tuesday as reported by thejakartapost.com.

Poltak said the company, the country?s largest thermal coal producer, had installed the integrated drive system (IDS) technology, developed by German technology company Siemens AG, in its 49 conveyor belts, to help it speed up the process of transporting goods from the mining area to ports.

?Upgrading the speed of our conveyor belts is cheaper than adding new belts. The costs needed were only 20 percent of the total capital costs of building additional conveyors,? he said.

Located in East Kalimantan, KPC manages a mining area of about 90,000 hectares and produces more than 50 million tons of coal per year, equal to about one-sixth of the country?s expected coal exports in 2016.

The company expects to produce 59 million tons of coal this year, up by 6.4 percent from 55.4 million tons produced in 2015. (*)