TransAsia sees Kalimantan coking coal project to commence production 2008
Wednesday, June 7 2006 - 04:52 AM WIB
The company?s project manager fro the project David Gibbs told Participants of Coaltrans Asia in Bali on Tuesday that the project, which is operated through subsidiary PT. Asmin Bara Tuhup, had measured and indicated resources of 40 million tonnes from two areas.
Gibbs said that the company would build 120-km haul road to transport the road to Mahakam river, from which the company will conduct 600-km barge operations to bring the coal to transshipment facility in East Kalimantan.
Gibbs said that the mine would be designed to produce 5 million tonnes of coking coal with calorific value of 7,600 kcal/kg for 17 years. The mining would be conducted through conventional truck and excavators operations by employing mining contractors.
Gibbs said that the company would invest some US$150 million to build the project?s infrastructure, including $50 million to build haul road and the rest to build coal processing plant, barge loading facilities and transport conveyor.
The company expected to start construction of the project in the third quarter of this year, with a view to commence commercial operations in the beginning of 2008 with installed capacity of 5MTPA.
?This is not going to be an easy mining operations it has 30 seams with thickness of between 0.2-2.5 meters,? he said. The length of the haul road would also make the project more challenging, he said.
Transasia acquired Tuhup coal project in 2004.
Global resources company BHPBilliton is also currently developing its Maruwai coaking coal project nearby. The project is expected to produce initial capacity of up to 5 MTPA of high quality hard coking coal in 2010, with mine life expected at around 50 years. Full production capacity would be set at 17.5 MTPA.(alex)