Suprabari begins coking coal production

By Thomas Sembiring

Petromindo|Lucky

Central Kalimantan coal firm PT Suprabari Mapanindo Mineral, a subsidiary of IDX-listed heavy equipment and mining firm PT United Tractors Tbk (UT), has started production since last month.

But Ari Setyawan, Investor Relations at UT, told Petromindo.com recently that Suprabari will only produce around 200,000 tons of coking coal this year, lower than the initial target of around 300,000 tons. ?So the target this year is only 200,000 tons,? he said, but did not say the reason for the lower output.

Ari expects, Suprabari, which operates mines in Murung Raya, Central Kalimantan, to start optimum production level next year with output target of around million tons.

UT through subsidiary PT Tuah Turangga Agung (TTA) acquired 80.1 percent shares in Suprabari from Vasse Holdings Pte, PT Cipta Olah Alam Lestari, and individuals Salman Ernawan and Eddy Winata in October last year.

The company said previously it plans to sell its semi-hard coking coal to Japanese steel mills.

Editing by Reiner Simanjuntak