Tanjung Jati B closes deal with coal suppliers

State electricity firm PLN said on Monday it has closed deal with coal suppliers for its Tanjung Jati B 2x660-MW power plant in Central Java.

Tanjung Jati B Fuel Manager Chris Leo Manggala told Petromindo.Com that the suppliers are Berau Coal, Indominco Mandiri and Wijaya Karya.

Berau Coal will supply 1 million tons of low CV coal for one year with shipment starting this September. The price from Berau coal is about Rp 834,000 (US$=Rp.9,200) per tonne (FOB), he said.

PT Indominco Mandiri, a unit of Thai coal giant Banpu Plc and state-owned firm Wijaya Karya (WIKA), will each supply 500,000 TPA for five years.

?The prices for both of suppliers are lower compared to Berau?s price, because the two contracts are long term,? Chris said without giving specific detail.

Meanwhile, Chris also said that Tanjung Jati has also signed spot contract for six month with state coal miner PT Tambang Batubara Bukit Asam (PTBA) starting August this year.

?We had signed the contract. They (PTBA) have shipped one panamax, another two panamaxes will be shipped every two months until December this year with price around US$80 per tons (FOB),? he said. (denny)