KPC, Indominco bags Tanjung Jati B coal supply deal

By Godang Sitompul

State electricity firm PT PLN announced on Monday that PT Indominco Mandiri and PT Kaltim Prima Coal (KPC) have been appointed to supply 4.8 MTPA of coal under 5-year contract to Tanjung Jati B power plant in Central Java.

Under the deal, Indominco, which is a unit of Thai energy firm Banpu will supply 500,000 MTPA with the remaining 4.3 MTPA to be supplied by KPC, a unit of Bumi Resources.

Coal supplied will have CV of 5,550-5,700 kcal/kg with moisture content of 17-20%, Sulphur content 0.6-0.88 % and ash content 5,5-6%.

PLN said one lot of coal supply with the volume of 500,000 MTPA with coalminer PT Jembayan Muara Bara is still under Contract Discussion Agreement.

Tanjung jati B power plant, which is operated by Central Java Power has 4 operating unit with combined capacity of 2,640 MW.

PLN?s Director Nasri Sebayang said that two additional units of power plants are being planned in Tanjung Jati with coal requirement of around 7 MTPA.

Editing by Alexander Ginting