PLN?s coal supply contracts reach 69.5 million tons in 2012

By Adianto P. Simamora

The state-electricity firm PT PLN said that the company has signed sale contracts of coal with a number coal miners to supply some 69.5 million tons in 2012, according to a senior official.

Of the total contracted coal, about 69.3 percent would come from coal companies listed in the Domestic Market Obligation (DMO) scheme, while the remaining of 30.7 percent are not.

?We expect the realization of DMO would reach 65 percent this year,? PLN?s Head of Coal Division Helmi Najamuddin told Petromindo.com. He said that among the coal suppliers not listed on the DMO list are PT Anzawara, PLN Batubara, PT Batara Batari and PT Hanson.

The government regulation 34/2009 actually requires that coal producers to set aside certain minimum percentage of its production for DMO to meet raising domestic demand, which is mainly meaning for PLN as it is the country?s largest coal user.

Editing by David Mustakim