Sriwijaya Prima allocates $2m for exploration activity

By Cepi Setiadi

Coal mining firm PT Sriwijaya Prima Energy has allocated US$2 million for capital expenditure in 2016 to finance exploration activities as it seeks for JORC reserves at its coal concession in Ogan Komering Ilir Regency, South Sumatera.

?The exploration activity for obtaining the JORC reserves has been started about one month ago,? Sri Andini, President Commissioner of the company told Petromindo.com on Friday. She revealed that the company is planning to develop a mine mouth power plant with a capacity of 2x300 MW at the coal mine.

?In 2016, we are budgeting around US$2 million as our target for obtaining at least 600 million tons of reserves, as we plan to build the mine mouth power plant,? she said.

Sri said that the coal concession has a total area of 18,000 hectares and based on the previous data it has around one billion tons of resources.

Sri said that once the JORC reserves data has been obtained, the company will proceed with feasibility study of the planned power plant project, which will be conducted through PT Srikandi Energi Indonesia.

Editing by Reiner Simanjuntak