Siam Cement secures coals supply contracts with Kideco, Adaro

SCT Co Ltd, a unit of Thai cement maker Siam Cement PCL said it has secured coal supply deal with two major Indonesian coal miners for its plants in Thailand.

Coal Center Manager Chatrabhop Pontham told Petromindo.Com on Monday that the company has secured long-term contract of 600,000 TPA with East Kalimantan coal miner PT.Kideco Jaya Agung. The contract would be negotiated every year, he said.

The company also secured 300,000 tonnes contract for this year with South Kalimantan coal miner PT.Adaro Indonesia. SCT would pay Adaro US$50 per tonne FOB for Adaro coal, he said.

The company had earlier signed 9-month 35,000 tonnes per month coal supply deal with East Kalimantan miner PT. Singlurus Pratama, a subsidiary of another Thai firm Lanna Resources Limited. Singlurus, which is currently in pre-production stage, will start shipment in March 2009, he said.

Other than the three contracts, the company also controls a mining concession in Satui, South Kalimantan, with initial production of 1 million tonnes per year to start mid-2009. (denny)