Perpetual?s subsidiary starts coal production

By Ruli Setiawan

ASX-listed Perpetual Resources Limited (Perpetual) announced on Monday that its subsidiary, PT Atoz Nusantara Mining (PANM), has started production at its coal project in West Sumatra.

The production works started on Aug. 4, 2014, the firm said in a statement.

PANM told Perpetual that for the first 2 months they will prepare the site for production which will include stockpile and camp organisation, house rentals, local recruitment, purchasing of fieldwork tools, organising local landowners, hauling road plan, excavator and truck mobilisation, wash plan acquisition and water pond construction.

Actual waste and coal mining should commence early October 2014 with the aim of first sales by December 2014.

Perpetual has a carry free interest in the project and is entitled to receive a royalty of US$3 per ton of coal sold from the project.

Editing by Johannes Simbolon