Titan targets 8 million tons of output

By Er Audy Zandri

Indonesian miner PT Titan Mining Indonesia recently stated it expects to produce 8 million tons of coal at the end of 2013, currently producing up to 2 million tons of coal from its two mines in Tanjung Dalam, North Bengkulu Sumatra and Melak, West Kutai Regency East Kalimantan.

"Our current production rate consists of more than 450,000 tons per annum from our concession in Melak, which is fully dedicated for (State Electricity Company) PLN as the requested CV is in accordance with their demand at 4,200 kcal/kg (GAR) and around 100,000 tons per month from our concession in Bengkulu at the CV of 4,500kcal/kg (GAR)," company CEO Irfan Setiaputra told Petromindo.com in a recent interview.

Claiming to hold licenses for plenty of concessions, the company is also focusing to develop another mine in Sangkulirang, East Kutai in East Kalimantan, which has two coal specifications of 4,500kcal/kg and 7,500kcal/kg (GAR). Trial shipment has been initiated at the start of the year, expecting to start operation sometimes next year.

"The thing about our Bengkulu concession is that it is located some 200 kilometers away, with new regulation prevents us from transporting more than 10 tons of coal per truck via the provincial road," he said.

The company is currently undergoing infrastructure development in both Bengkulu and Sangkulirang, consisting of Titan Wijaya Port in Bengkulu to cut hauling route and three Jetty ports in Sangkulirang. Irfan didn't go into detail as how much investment is spent.

Titan Mining is known to be one of Indonesian coal companies to have won large supply contracts from PLN since 2008, expecting to supply up to 3 million tons of coal in a 20 years worth of contract.

Editing by David Mustakim