No impact of Indian rupee's weakening on Adaro

By Cepi Setiadi

Indonesia giant coal producer PT Adaro Energy Tbk stated that economic slowdown in India and the sharp depreciation of the country?s currency will not impact the company's performance despite that India is the firm?s biggest customers.

Devindra Ratzarwin, Adaro's corporate secretary, told Petromindo.com on Wednesday that the majority of Adaro's customers in India are independent power producers (IPP) with whom the firm has long term contracts.

"In addition, India needs Indonesian coal to be blended with their coal, which has high sulfur and ash contents," Devindra said adding that in order to keep its economy from sliding down further, India has to assure continuity of electricity supply.

Devindra said that in the first half of 2013, about 22 percent of Adaro's output or about 24.50 million tons went to India. India was Adaro?s biggest costumer absorbing 15 percent of the firm?s total exports last year.

Editing by Johannes Simbolon