Timah to increase spot trading next year

State owned tin mining company PT Timah will increase spot trading activities next year as a consequence of the company?s plan to reduce sales contracts during the year.

The company?s corporate secretary Abrun Abubakar said in Jakarta on Thursday that the company would reduce the contracts next year because the larger part of the production next year would be used to meet this year?s contract commitments.

He said that PT Timah had failed to meet contract commitments this year due to the decline in the production. The company?s tin production is projected to only reach 40,000 tons this year, far lower from the company?s initial target of 45,000 tons.

In order to increase the production, PT Timah will operate 15 units of cutter suction dredges next year.

Abrun said that 10 of the dredging ships built between 2008 and 2009 had begun trial operation while the other five ships were now under construction at PT Timah?s shipbuilding company PT. Dok & Perkapalan Airkantung in Bangka island.

He said that the construction of the three ships were scheduled for completion in the first quarter, next year while the construction of the other two was expected to be completed in the second quarter.

Abrun said that the construction of the new ships cost the company about Rp 30 billion each. (giok)