Update: Adaro says still has 500,000 tons in stockpile

South Kalimantan based-coal mining firm PT Adaro Indonesia corrected earlier statement and said as per Thursday it still had enough coal in its stockpile to meet coal shipment obligations after last Thursday a group of local villagers blockaded road to crushing plant and coal port and causing production halt for a week.

?Currently, we have 500,000 tons of coal in our stockpile and no shipment schedule will be delayed. It?s not true that our stockpile are gone,? said administration manager Priyadi Thursday.

The siege ended Thursday after Adaro, helped by local government, police end local community leaders managed to persuade the villagers, who demanded to be employed by Adaro, dispersed peacefully. Production was resumed Thursday.

Priyadi said the siege cost the company 420,000 tons in potential production, but shipments were not affected as it still had sufficient stockpile in coal port.

Adaro produces 70,000 tons of coal per day.

Adaro is Indonesian largest coal producer with production target of around 21 million tons this year.

In October last year, Adaro?s production was` also hit by striking workers of its main contractor PT. Pama Persada Nusantara, which forced the company to declare force majeur to its buyers. (alex)