Truba to start production from S. Sumatra coal mine in 2008

Indonesian Stock Exchange-listed engineering firm PT Truba Alam Manunggal Engineering Tbk through its 90 percent subsidiary PT Manunggal Multi Energi (MME) will start coal production from its Muara Enim coal mine in South Sumatra in the first quarter of next year.

Head of Investor Relations Agustino Sudjono told Petromindo.Com on Thursday that the mine will initially start production at 500,000 tonnes per year.

Sudjono said coal produced from the mine would be sold to nearby PLN?s power plants. He said that MME might also considering selling some of its coal production to state coal mining firm PT.Tambang Batubara Bukit Asam, which mines for coal nearby.

MME has concession of 5,574 hectares with mineable reserves of 140.8 juta tonnes. The coal produced will have CV range of 4,005-6,206 kcal/kg.

Together with newly established 50 percent-owned trading unit Maxima Coal Pte Ltd, Truba will sell 2 million tonnes of coal next year, Sudjono said.(denny)