UMS ships 110,000 tons per month of RI?s coal to Thailand

By Er Audy Zandri

Unique Mining Services Plc (UMS), a coal logistic company affiliated with Thoresen Thai Agencies (TTA) recently stated to consistently import up to 55,000 tons of coal twice per month from Indonesia to Thailand, mainly for Bangkok and nearby provinces.

?We source primarily from a network of eight reliable suppliers in Indonesia who fall into two categories, either mine operators or traders such as Sojitz, Samsung and LG. The ash content of coal from Indonesia is lower than that of coal from South Africa, and Thai industries typically cannot burn very much ash,? said Vichai Chuensuksawadi, Director and acting Managing Director of UMS as quoted by Bangkok Post.

The company stated to have two classification facilities, one in Ayutthaya and one in Samut Sakhon, classifying coal into 0-5 mm, 10-20mm and 20-50mm in each facility. ?Our cumulative record high capacity at both facilities is 6,500 tons a day. Normally we run at around 70 percent utilization,? he said.

The Samut Sakhon facility is currently closed due to community opposition issues. ?But we have met the conditions required for environmental purposes and have full permission from authorities to transport coal from there. We expect to be able to begin full operations by August. In the meantime, we are in the process of looking for a backup site,? he said.

As part of TTA, the company uses group companies for a number of functions that previously were sourced externally. With Thoresen Shipping & Logistics as broker, it often utilizes Thoresen vessels to transport coal from Indonesia.

Thailand has the lowest import volume of coal in Southeast Asia, a phenomenon expert believes stems from the environmental disaster in Mae Moh with Egat's first coal-fired power plant which used lignite, a very low-grade coal.

?But today, we are seeing fuel prices skyrocket. Gas is fairly limited in Thailand and biofuel supplies are inconsistent. Nuclear has also become a less popular option. So in our view, there is little doubt that coal will grow in popularity as an increasingly reliable and efficient source of energy,? he said.

UMS aimed at tripling its volumes in Thailand in the next five years, stating to expand in several domestic markets backed up by small and independent power producers that are continually growing.

Editing by David Mustakim