Riau invites investors develop coal mining in the province

Indragiri Hulu, one of Riau?s regencies, is inviting local and foreign investors to develop coal mining in the regency in a bid to further expand its financial sources, Kompas reported on Tuesday.

Indragiri Hulu regent Raja Thamsir Rachman said in Pekanbaru on Tuesday that the opening of coal mining in the regency could triple the amount of the regency?s local revenue from Rp 18 billion at present.

He said that coal deposits found in some 60,000 hectares in Peranap and Siberida districts, although still relatively young, have a good quality. The coal production in the two locations could reach two million tons a year.

"Based on a number of surveys, the coal deposits in Peranap have been old enough to be developed,? he said.

According to him, several companies including state owned coal producer PT Batubara Bukit Asam and a Malaysian company have expressed kin interest to develop the coal mining in the regency. But it is still uncertain whether the two companies will realize their plan. (*)