Madhucon?s Dawas mine ups output to 30,000 tpm

By Edgar Subroto

Madhucon Indonesia, subsidiary of India based infrastructure company Madhucon Projects Limited, said that its Dawas coal mine in South Sumatra ramped up output to 30,000 tons per month (tpm) with CV 3,800 (GAR) from 20,000 tons previously.

Industrial source said that with such increase of production, chance was still open for spot buyers to purchase the company?s low rank coal.

Madhucon Indonesia earlier said that the its Dawas coal mine in South Sumatra had commenced production in August with a monthly target of 20,000 tons.

It said that Madhucon?s subsidiary, PT Madhucon Sriwijaya Power, Indonesia, has also signed Power Purchase Agreement with PT PLN for the supply of power for 25 years from its proposed 300 MW mine mouth coal fire power plant to be built in South Sumatra at a cost of US$ 410 million.

The source said that Madhucon would supply all its production to the mine mouth power plant once its construction is completed.

The source also said that the company could ramp up its production to 50,000 tons per month if there is demand from buyers.

Editing by Adianto P. Simamora