Renuka announces JORC reserves of JPC
Friday, September 21 2012 - 05:07 AM WIB
IDX-listed coal miner Renuka Coalindo has on September 17 announced the result of its JORC analysis for the 99.99 percent owned Jambi Prima Coal at Sarolangun Regency, Jambi.
JPC's JORC analysis revealed 120.300.000 tons of coal resource and 92,6 million tons of reserve, enough to sustain up to 18 years of mine life at the production rate of 5 million tons per annum after 3 years of production ramp up from the current rate. PT GMT Indonesia issued the JORC reserve analysis.
JPC concession area consists of three main coal seams and four minor seams with thickness ranging between 1.5m and 8m at consistent thickness and length structures.
The company expects to produce 5 million tons per year in 2016, currently approaching Indian and Indonesian buyers for long term contracts.
To support the plan, Renuka is in the process of constructing new port some 11km away from JPC mine mouth to avoid using provincial road.
It plans to take the coal via Tembesi River using 180feet barges to a transshipment point near Jambi, and continue using 300 ft barges via Batanghari river to coal mother ships at Muara Sabak port.
The company said a 1km conveyor will be needed to connect coal stockpile within the new port, adding that it currently plans to outsource the barging and coal handling activities.
Renuka is currently partnering with other mine operators in the dredging of both the Tembesi and Batanghari rivers to ensure smooth barging operation, expecting to complete the effort at the end of this year.
The new logistic structure is expected to show results as early as the first quarter of financial year 2014, between 1 April 2013 and 31 March 2014.
Editing by Er Audy Zandri