PJB awards coal supply contracts to Indominco, Berau

State electricity firm PLN said on Monday it has awarded coal supply contracts for its Tanjung Jati B 2x660-MW power plant in Central Java to East Kalimantan coal miners PT.Berau Coal and PT.Indominco Mandiri.

PLN?s head of Primary Energy Unit Nasri Sebayang told Petromindo.Com that the contracts for the supply had not been signed as buyer and sellers are still in price negotiation.

He said Berau will supply low calorie coal with CV of 5,100 Kcal/kg while Indominco, a unit of Thai coal miner Banpu, will supply medium CV of 5,400Kcal/kg to Tanjung Jati,

He did not give the exact volume both companies will supply, but PLN?s earlier bid announcement said that medium CV winner will supply 800,000 to 1 MTPA for five years starting Sept 2008, while low CV winner will supply 800,0000-2MTPA for five years starting 2008.

Indominco and KPC were remaining two bidders in the medium CV tender while Berau and PT.Wijaya Karya were bidders in low CV tender. (alex)