Siam Cement secures 2012 coal procurement

By Denny H. Tarigan

Thai cement maker Siam City Cement Public Company Limited has secured its 2012 coal procurement from Indonesian coal mines, an industrial source told Petromindo.com.

Siam Cement needs around 800,000 tonnes of coal per annum, to fire the processing of clinker, the source said, adding that out of the total 800,000 tonnes, around 35 percent comes from the coal units in Indonesia of Thai giant coal firms Banpu and Lanna Group.

Banpu and Lanna will supply around 150,000 tonnes each for this year. The figure is the same as last year?s volume, the source said.

The remaining 65 percent is sourced from domestic coal mines, including around 80,000 tonnes from spot market, which mostly comes from Indonesia, the source said. The company is still looking for a coal with calorific value of 4,400-5,000 kcal/kg (AR). ?Every year, we have 10 percent space for a spot market,? the official said

The coal from Banpu and Lanna are sub-bituminous coal and the remaining 65 percent is low-rank coal, the source said.

Editing By David Mustakim