Straits? Sebuku coal production up despite heavy rains

Australian mining company Straits Resources Limited has effectively maintained its coal production level at Sebuku coalmine in South Kalimantan despite heavy rains and a staged blockade hampered in the first quarter of 2004.

?Coal production was 576,000 tons and sales were 573,000 tons. The record first quarter production and sales figures compare with 545,000 tons and 529,000 tons respectively for the previous corresponding period,? Straits said in its quarterly report on Tuesday.

Straits said waste removal and coal mining have improved consistently as the new mining contractor settled into an established routine.

According to Straits, the coal market continues to be strong with firm spot prices. ?Straits have now committed the majority of its forecast production for 2004 into long term sales contracts,? the company said.

The company also said it had made some preparations to recommence mining in the northern Tanah Putih Pit.

As of December 31, 2003 marketable coal reserves at Sebuku mine was 17 million tons, Straits added.

Straits has an 80 percent ownership in PT Bahari Cakrawala Sebuku, which operates the opencut truck and shovel coal mining. The remaining 20 percent stake is held by PT Reyka Wahana Digdjaya. (robert)