Petrosea raises coal production target

PT Petrosea Tbk, engineering and coal mining contractor, plans to increase its coal production target to 5.6 million tons a year under a mining contract with PT Adimitra Baratama Nusantara, Bisnis Indonesia reported Tuesday.

The company?s corporate secretary Meinar Kusumastuti said in Jakarta on Monday that Pertrosea produced 2.4 million tons and removed a total of 36.7 million bank cubic meter (BCM) of overburden from PT Adimiyra Bratama?s coal mines, last year.

The increase in the production was stipulated in the new overburden removal contract signed with Adimitra Baratama last year, Meinar said, Under the new contract, the coal production target will be increased to 5.56 million tons and the overburden removal to be increased to 75 million BCM a year beginning 2013.

Under the new contract, Petrosea will produce 41.25 million tons and to remove overburden of 565,8 BCM in projects worth totaling US$920 million (about Rp 8,28 trillion) for seven years until 2018.

Adimitra Baratama Nusantara is thermal coal producer based in East Kalimantan. (*)