Release: Adaro declares temporary suspension of delivery to three customers

(Jakarta, December 11th, 2008) PT Adaro Energy Tbk announces that one of its subsidiaries (PT Adaro Indonesia) has temporarily suspended deliveries to three customers.

The Company declared force majeure on the three customers after negotiations with them failed to achieve the required new price by 3rd December 2008, as directed by the Government.

The re-pricing negotiations and the deadline were required by the Government of Indonesia.

President Director of Adaro Energy Garibaldi Thohir said: ?We regret the Company had to declare force majeure on these three customers. The Government required deliveries be suspended to those customers that do not agree by the deadline to a new higher price. Once the new price is achieved, the suspension will be lifted. Adaro Indonesia has reached agreements with most of the affected customers, but unfortunately not yet with these remaining three. Negotiations continue and we are hopeful of achieving a satisfactory outcome.?

To date, the Company?s operations continue to run well and demand for Envirocoal remains firm. The Company expects to achieve its production and sales volumes targets of 38- 39 million tonnes for 2008 and 42-45 million tonnes for 2009.(end of release)