PCN starts producing coal, secures contracts with international traders

By Cepi Setiadi

Coal mining company PT Prolindo Cipta Nusantara (PCN) is starting to produce coal from its coal mine in Sebamban, Tanah Bumbu Regency, South Kalimantan this month.

President Director Rudy Hartanto told Petromindo.com on Monday that currently the company is in the process of removing overburden.

"We expect to have an output of about 70,000 tons this month, as the maiden production. Starting November, 2013, we will boost the output up to 250,000 tons per month and will further boost the output to 300,000 tons in 2014 as our jetty has the capacity of 600,000 tons per month," he said

Rudy said that the first shipment will be allocated for domestic market.

According to him, the firm has secured two contracts with two international coal traders which obligate the company to supply about one million ton per year for each of the customers.

"The first vessel is expected to be delivered by November. It will go to India," he said.

Editing by Johannes Simbolon