Santan reaches production target, looking for 2010 offtakers

IDX-listed mining contractor PT Petrosea Tbk said its East Kalimantan coal mining unit PT Santan Batubara thus far has produced 800,000 tonnes of coal and is currently looking for offtakers for next year production.

CFO Hanifa Indradjaya told Petromindo.Com that Santan is currently slowing down production as it has reached this year?s production target. Santan started production in March this year. ?We consider this year?s production as trial,? he said, adding that Santan has shipped 400,000 tonnes of its coalto be blended with coal from its sister mines PT Tanito Harum and PT Mahakam Sumber Jaya as blending.

Hanifa said Santan will produce 1.2MT of coal next year and the mine is still looking for offtakers as all of its 2010 planned production is still uncontracted. ?Santan coal is available for domestic and overseas offtakers,? he said.

Petrosea has 50 percent stake at Santan with the remaining balance held by coal mining group Tanito Group. Petrosea, in turn is controlled by IDX-listed energy firm PT Indika Energy Tbk. (denny)