Pamapersada expects coal output to rise 10% next year

By Thomas Sembiring

Petromindo|Khalsa

Coal mining contractor PT Pamapersada Nusantara, a subsidiary of IDX-listed heavy equipment and mining firm PT United Tractors Tbk, said that coal production next year is projected to increase by 10 percent.

Pama Persada Director Ari Sutrisno said that the coal output increase is in line with the rising price of the commodity. ?Production growth is expected around 10 percent,? he told Petromindo.com recently.

He, however, said that the production target for next year will be finalized at an upcoming management meeting this month. This year, coal production is expected to reach 106 million tons.

Ari said that the company has started ordering heavy equipment since last year, but acknowledged required equipment for some projects have yet to be available.

As such, pending the arrival of the required equipment, Pama Persada will adopt re-manufacturing of the old equipment. Ari did not disclose the number of heavy equipment required by the company next year.

UT Corporate Secretary Sara Loebis that through the re-manufacturing scheme, Pama Persada?s heavy equipment requirement for next year is secured.

Editing by Reiner Simanjuntak