Petrosea secures $145m mining contract from Ilthabi

Australian Engineering and construction company Clough Limited announced on Thursday that its Indonesian subsidiary, PT Petrosea Tbk has been awarded a 5 year period mining contract worth of US$145 million from East Kalimantan miner PT Ilthabi Bara Utama

The contract for is for all aspects of the mining operations at Iltabhi?s Pakar Coal Mine Project, and follows on from Petrosea?s success in being awarded the initial Mine Development contract for Pakar in July 2007, the company said.

The mine is an open cut coal mine in central East Kalimantan that will produce thermal coal at an initial rate of 5 MTPA for both export and domestic consumption. Mining is expected to commence on site in March 2008.

According to Clough, Petrosea will further expand its mining fleet through the investment of an additional US$23 million in new plant and equipment.

PT llthabi Bara Utama is a start up open-cut coal mining company in the Pakar Area of Easi Kalimantan. The Pakar Coal project has proven and probable coal reserve of 274 million tonnes and an overall coal resource of approximately 3.3 billion tonnes. (denny)