Tenaga to resolve Indonesian coal ops problems in a month
Thursday, August 3 2006 - 07:14 AM WIB
Tenaga Nasional Bhd., Malaysia's biggest power utility, denied a newspaper report that its Indonesian unit is running at a loss, agency reported.
The company is resolving ``matters'' at the subsidiary, Chief Executive Che Khalib Mohamad Noh told reporters in Kuala Lumpur Thursday.
The Business Times, citing an auditor's report, said that the subsidiary, TNB Coal International Ltd., may face losses of as much as US$62 million) because of payments to a director, villagers and the sale of coal at below-cost prices.
``The issue can be resolved,'' Khalib said. ``Hopefully in a month's time.''
Tenaga has several coal-mining operations in South Kalimantan with production of around 1.5 million tonnes per annum. (*)