Resource Alam to operate another coal mine in 2014

By Hiski Darmayana

IDX-listed coal miner PT Resource Alam Indonesia Tbk will bring into production its 5,000 ha coal Loa Haur concession in Murung Raya regency, Central Kalimantan next year.

?We are in the process of obtaining forest utilization permit (IPPKH) from the Ministry of Forestry. We hope to obtain the permit as soon as possible. The concession has gained a clear and clean status from the Ministry of Energy and Mineral Resources,? President Director Pintarso Adijanto told Petromindo.com on the sidelines of the firm?s public expose in Jakarta on Thursday.

He said the Loa Haur concession has a production capacity of 1.5 million to 2 million tons per year.

?Most of infrastructures at the mine have been ready to support production,? he said.

Aside form the Loa Haur concession, the firm also has two other concessions, namely Insani Bara Perkasa (IBP) and Kaltim Mineral concessions, both located in East Kalimantan. The three concessions are estimated to hold combined reserves of 92 million tons.

Thus far, only IBP has come into production, while Kaltim Mineral is still in the exploration stage.

?As of the end of this year, IBP is expected to produce 4.5 million tons, while its production target may reach 5.7 million tons next year. China remains our biggest market today. Still, we seek to boost exports to Thailand and South Korea,? Pintarso said.

Regarding the Kaltim Mineral concession, he said exploration using the JORC standard is ongoing there in order to estimate the size of its reserve. ?Thus, the concession will not come into production next year,? he said.

Editing by Johannes Simbolon