Straits? Sebuku coal output slightly up in Q2

Australian mining company Straits Resources Limited said on Tuesday that its coal production from Sebuku coalmine in South Kalimantan had slightly increased to 697,000 tons in the second quarter of 2005, from 626,000 tons in the previous quarter. It produced 803,000 tons in the second quarter of last year.

Straits said coal sales also improved to 707,000 tons from 642,000 tons in the previous quarter.

?This is just below the annualised forecast of 3 million tons; however the first half of the year is typically slower due to the rainy season,? Straits said, adding that the new crushing facility was successfully commissioned in June and the mine remains on track to produce and sell 3 million tons of coal in 2005.

Straits also said the outlook for 2005 and 2006 looked positive with a large quantity of Sebuku?s output over this period already committed under current pricing conditions.

Straits added that an exploration program at Tanah Putih and Kanibungan North-West deposits was in progress, and a mounted aircore drill rig had been purchased to accelerate the program.

?A revised resource estimate will be announced in the September 2005 quarter,? the company said.

Straits operates the opencut truck and shovel Sebuku coalmine through its wholly-owned subsidiary PT Bahari Cakrawala Sebuku. (robert)