National coal output may surpass govt's target

By Cepi Setiadi

Indonesia coal production may hit 400 million tons this year, surpassing the government target of 391 million tons.

Edi Prasodjo, Director of Coal Business Development at Ministry of Energy and Mineral Resources told Petromindo.com that most of coal mining companies are increasing their productions in order to achieve an economic scale amid price declining trend.

"Up to the end of June 2013, our national production had reached 211 million tons, compared to the annual target of 391 million tons for this year. Most PKP2B and IUP holders are boosting their production to to avoid losses. So the (total) production can reach 400 million tons through the year's end," Edi said.

He warned the miners to control the production.

"We are considering setting limits on the production," he said without elaborating.

Editing by Adianto P. Simamora