Timah?s unit sees continued lower coal output due to reserve depletion

South Kalimantan coal miner PT Tanjung Alam Jaya (TAJ), a coal unit of state tin miner PT Timah Tbk., said its coal total production this year will be around 600,000 tonnes only, significantly lower than last year?s output of 1 million tonnes, the company?s official told Petromindo.Com on Tuesday.

The decreasing output is caused by the mine coal reserve depletion. For next year, TAJ sees further lower output compared to this year?s production target. As of August, TAJ has produced 400,000 tonnes of coal, the official elaborated without giving the exact figure of coal output target for next year.

Due to the depletion of reserve, TAJ mine will be abandoned in 2013-2014, the official added.

TAJ operates a 6,000-hectare coal mine in Banjar regency, producing coal with calorific value of approximately 6,500 kcal/kg, with works carried out by two mining contractors PT Kalimantan Prima Persada (KPP) and PT Lambang Daya Agrima (LDA).

Timah?s corporate secretary Abrun Abubakar has said earlier that the company was still looking for coal acquisition targets in Central and East Kalimantan.

Timah acquired TAJ in 2003. (denny)