Timah?s unit to lower 2011 coal production target

South Kalimantan coal miner PT Tanjung Alam Jaya (TAJ), a coal unit of state tin miner PT Timah Tbk., said its 2010 coal production target is on track to reach 1.2 million tons, despite unfavorable weather, the company?s officer said.

TAJ director Ahmad Subagja told Petromindo.Com on last week coal production for Jan-August period has reached 700,000 tons.

?For next year, our coal production target will be lower than this year?s target, he said. ?Next year, maybe only around 1 million tons, ? he said without giving further details.

In Nov 2009, Timah said that it was scouting to acquire coal mines replace its TAJ coal mine which may cease production in 2012 due to resource depletion.

Last year, TAJ produced 850,000 tons of coal.

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 acquired TAJ in 2003. (denny)