Reswara produces 4.95 million tons of coal in 2013

By Tri Subhki R

Coal mining company PT Reswara Minergi Hartama, a subsidiary of IDX-listed PT ABM Investama Tbk, produced 4.95 million tons of coal in 2013, according to the ABM Investama?s 2013 full year financial statement.

Reswara aims to double its coal output this year to 8.5 million tons.

Reswara owns three producing coal mines, namely one in South Kalimantan owned by its subsidiary PT Tunas Inti Abadi (TIA) and two in Aceh owned by its subsidiary PT Media Djaya Bersama (MDB) through PT Mifa Bersama (MIFA) and PT Bara Energi Lestari (BEL) respectively. TIA produced 4.61 million tons of coal and MDB?s coal output was 0.34 million tons last year.

Previously, Harry Asmar, President Director of Reswara, said that the bulk of the output for this year will come from TIA and MDB. ?Tunas Inti Abadi will increase coal output to 5 million tons this year,? he said.

Harry said that the toughest challenges to realize the production target is the lingering low coal price, and the government?s plans to increase the coal royalty to 10-13.5 percent payable by IUP mining license holders from the current 3-7 percent.

Editing by Johannes Simbolon