Tabang upgrading coal plant still operating below capacity

ASX-listed firm White Energy Corp. (WEC) said on revealed on Tuesday that its East Kalimantan coal upgrading unit PT Kaltim Supacoal has completed construction of Tabang coal upgrading plant and is ramping up production.

The Company, however, said that production rates have been hampered by problems at coal injection system and dust extraction system. It did not give further detail.

?Practical solutions have been put in place to address these challenges and increase production rates,? the Company said.

The Company also reported that the plant is currently producing upgraded coal with energy content of approximately 5,800 kcal/kg out of the targeted production of 6,100+ kcal/kg.

?The emphasis in now on improving production rates and production quality,? it said.

WEC, together with partner Indonesian coal producer PT Bayan Resources, is also building a coal upgrading plant in Tabang with a production capacity of 1 million tons per annum (MTPA). The partnership is planning to increase the capacity to 5 MTPA. (alex)