Lack of permit causes production delay to C. Kalimantan miner

Central Kalimantan coal mining firm PT.Asmin Bara Bronang said slow provincial government permit has caused delay to its plan to exploit bituminous coal deposit.

President Director RA Sunardi told Petromindo.Com that thus far, the company has not been cleared to start construction of the mine as provincial government has yet completed the province?s spatial planning.

Sunardi said that the company would need around 1.5 years to bring the mine into production. ?If we can get construction permit now, we could start production

He said that the mine would be designed to production by the end of 2009,? he said, adding that the company will design the mine to produce at the rate of 3.5 millon tones per annum.

The company will produce coal with CV of around 6,700Kcal/kg, he said.

The company?s mine is located at the heart of Central Kalimantan, straddling in the regencies; Kapuas, North Barito and Murung Raya regency.

According to Sunardi, the company will build 75-km haul road and would barge the production by 500 kilometers to transshipment point. (alex)