Straits reports higher Q2 coal prices

Singapore Exchange-listed mining firm Straits Asia Resources Limited reported on Thursday that average price in the second quarter 2008 from its Kalimantan mine reached US$76.78 per tons, an increase by 64 percent from $49.01 per ton in the previous quarter.

Straits said that average selling price during the quarter from its Sebuku mine in South Kalimantan reached $97.28 per tons and from Jembayan coal mine in East Kalimantan $56.28 per tons.

Straits sold 1.301 million tons and 1.079 million tons from Jembayan and Sebuku respectively during the quarter. Straits Asia is on target to produce approximately 9.0 million tons of coal in 2008, with approximately 5.0 million tons and 4.0 million tons contributed by the Jembayan and Sebuku mines respectively.

According to the company, for next year it has committed to selling 2.65 million tons of coal to buyers at average selling price of $82 per ton FOB, including about 1.3 million tons sold at prices more than $110 per ton.

The company targeted coal output 11 million tons next year. (denny)