Multi Harapan expects to resume production in a few days

East Kalimantan-based coal producer PT Multi Harapan Utama (MHU) expected to resume production in the next few days following a successful negotiation with protested villagers, a company official said on Wednesday.

Obang Sobandi, company's technical manager, told Petromindo.Com that a three-parties meeting on Wednesday between company officials, local administration representatives, and villagers decided that villagers end their blockade.

?The villagers are willing to clear the blockaded haul road from stones on Thursday,? Obang said, adding that all villagers? demands will be handled by the local administrations.

Since Feb. 17, villagers have blockaded MHU?s hauling road, forcing the company to stop operation and eventually declare force majeure on Feb. 29.

MHU, which operates in Tenggarong district in East Kutai Kertanegara regency of East Kalimantan province, plans to produce 2 million tons of coal this year, with most production goes to export markets such as Taiwan, Philippines and Japan.

MHU is owned by local business groups Napan Group, Swabara Group, and PT Asminco Bara Utama. (Hotma)