PTBA?s coal reserve rises 3% to 7.3 billion tons

Coal reserves of South Sumatra-based coalminer PT Batubara Bukit Asam Tbk (PTBA) have increased by three percent to 7.3 billion tons following the exploration the company had carried out in the area together with a technology development agency from Japan, a senior government official said Friday.

The newly found coal, amounting to 230 million tons in reserve, contains 5,300- 7,800 calories per kilogram, and less than five percent of sulphur, said geology and mineral resources director general Wimpy S. Tjetjep.

The 230 million tons of coal reserve were found in Kungkilang in Mura Enim regency, part of South Sumatra province.

Wimpy said that New Energy and Industrial Technology Development Organization (NEDO), the Japanese organization, had since 2002 provided technical assistance for coal exploration in PTBA?s concession area in Muara Enim regency in South Sumatra. The assistance is effective until 2005.

In 2003, PTBA and NEDO will carry out another coal exploration project in Bunian Sukamerindu, also in Muara Enim.

State-owned PTBA is Indonesia?s major coal producer operating a large coalmining site in South Sumatra, and owns a coalmining project in West Sumatra.

Last December, the company sold its shares in an initial public offering through Jakarta Stock Exchange and Surabaya Stock Exchange. (godang)