PPA secures 5 years contract with Berau Coal

By Tri Subhki R

PT Putra Perkasa Abadi (PPA), a mining contractor company, secured a five-year mining contract with IDX-listed coal mining company PT Berau Coal Energy Tbk. PPA will start the production this month.

Under the contract, PPA has to produce 52 million bank cubic meters of overburden removal and 10 million tons of coal for five years at Gurimbang, one of Berau's mine pits in Berau Regency, East Kalimantan Province.

"We are in the process of mobilization of units to Gurimbang," PPA's President Director Christianto Setyo, said to Petromindo.com recently.

PPA and Berau signed the agreement in early August and PPA has to commence the operation at Gurimbang one month after the signing of the agreement.

Currently PPA works in five coal projects, among others PT Borneo Indobara, PT Alamjaya Bara Jaya and PT Mega Prima Persada, with total overburden volume of 130 million bank cubic meters this year.

Editing by Reiner Simanjuntak