Straits reports increased Indonesian coal production

Singapore-listed coal miner Straits Asia Resources Limited reported on Monday that 2010 coal production from its Jembayan mine in East Kalimantan and Sebuku mine in South Kalimantan reached 10.550 million tonnes, higher than previous year?s production of 8.45 million tonnes.

Jembayan mine provided the foundation for the company?s record production volumes, finishing 2010 with record annual numbers. Rainfall around Jembayan in the fourth quarter of 2010 was approximately the same as the mine had experienced in previous quarters of 2010, the company said.

The atrocious weather conditions that blighted Sebuku in the third quarter eased off only for the last 6 weeks of 2010. ?The 1.1 million tonnes production for 2010 from Sebuku, of which nearly half was achieved in the fourth quarter of 2010, was a very satisfactory outcome taking into account all the challenges that the mine faced at the outset of 2010 and the abnormally high rainfall over most of the year,? the company said.

The company also reported that 2010 average selling price was US$72.81 per tonne, down 12 percent on 2009, reflecting weaker market conditions and lower prices when 2010?s deliveries were priced.

The company said Jembayan mine will be targeting another year of record production in 2011, with its mine plan showing an increase of about 1 million tonnes annually until it reached its near-term steady state target of 11.5-12.0 MTPA.

Meanwhile, the company is also focusing to meet administrative requirements to ramp up its Sebuku mine. (alex)

Straits Asia Production

Kt Sebuku	3 Months Ended 31 December		Full Year Ended 31 December
	2010	2009	2010	2009
Coal mined	584	590	1,268	2,364
Product coal	495	525	1,104	1,983
Sales	481	561	1,091	1,922
Jembayan	?	?	?	?
Coal mined	2,595	2,209	9,287	7,019
Product coal	2,333	1,684	9,446	6,466
Sales	2,419	2,294	9,621	7,288
Total	?	?	?	?
Coal mined	3,179	2,799	10,555	9,383
Product coal	2,828	2,209	10,550	8,449
Sales	2,900	2,855	10,712	9,210