Straits new loading facilities collapses on heavy rain

Singapore Exchange-listed coal miner Straits Asia Resources Limited said on Thursday that its newly completed load-out facilities at Jembayan Muara Bara mine, East Kalimantan, has temporarily ceased to function due to failure of the foundation structure under this facility that was caused by heavy rain.

?The extent and impact of this failure on the future operation of the new load out facility is currently being investigated. However, it is clear that no further loading will be possible from this facility at least for some time,? the company said.

Jembayan operates 2 load out trains at the mine: the original facility with a nominal annual capacity of 5.5 million tonnes; and the new facility that was recently commissioned and has been building up capacity as part of an overall mine expansion plan. Straits is planning to expand Jembayan capacity to 11MTPA.

?Based on an initial assessment, the original load out facility does not appear to be affected by this event. All other mining activities at Jembayan continue to function normally and all reasonable steps are being undertaken to mitigate the impact of this event,? the company said.(alex)