KPC projects 13 million tons this year

Coal mining company PT Kaltim Prima Coal said on Wednesday that it projected a total output of 13 million tons this year as against the initial target of 15 million tons.

Company public relation officer Tuty Suryoputro said the decrease in output was caused by temporary closure following the strike by company workers.

She said the company had produces 6.8 million tons until August and planned to boost output to between 1.4 million and 1.6 million tons monthly starting this month.

"Production has resumed to normal," she told Petromindo.Com.

KPC, which operates a huge coalmine in Sangatta, East Kalimantan, was forced to halt activities several times over the past two months following a strike by its workers grouped in the Indonesian Prosperity Trade Union (SBSI). During the strike, the workers occupied the company's production facilities.

The workers agreed to end the strike recently.

Tuty said thus far KPC and SBSI were still in disagreement over the issues, including the salary for the workers, who were involved in the strike, and the warnings given by the company to the workers.

She said SBSI demanded KPC pay 50 percent of the monthly salary due to the workers during the strike period, but KPC insisted to withhold the salary.

SBSI also demanded KPC revoke the warnings it had given to the workers but KPC turned down the demand and was only ready to reduce the warning period.

Under the warnings, KPC may fire the workers who were involved in the strike, if they do mistakes during the warning period. (alex)