Multi Sarana Avindo starts production at 1,000,000 tons PA

Coal mining company PT Multi Sarana Avindo, a mining concession holder in East Kalimantan, said Monday that it had recently commenced production and looked forward to produce 1,000,000 tons of coal for the first year.

The company's general manager of mining Himawan Prasodjo told Petromindo.com via phone that the company had just started production and expected the first shipment of 25,000 tons of coal to Taiwan today.

"We are hoping to be able to produce 1.5 million tons of coal after the first year and hopefully, at the third year production would reach its peak at 2,000,000 tons per year," he said.

Currently, said Himawan the coal was sold to Taiwanese buyer. He further said that the coal the company produced contained very low ash and sulphur and he was optimistic more buyers would be interested once the production was raised.

He said current reserve estimation showed production could last for 17 years.

Multi Sarana is a local company, which was given mining license to mine coal in the newly formed regency Kutai Kartanegara in East Kalimantan in 1997. The company started to develop the 4,000 hectares area in 1998. (*)