UPDATE: New coalminer to operate in Sangatta, E. Kalimantan

New coalminer company PT Kobexindo says it plans to produce around one million tons of coal annually in Sangatta, East Kalimantan, local daily Kaltim Post reported on Friday.

The company said in the early phase of its operation its coal production would be only some 250,000 tons.

The daily further said the company would mine for coal in East Kutai for 13 years.

The company will start extracting coal immediately after the government accepts its Analysis Concerning Environment Impact (Amdal).

Local government officials asked the company management to submit regular reports to Sangatta regent about its activities as required by existing laws. The officials asked Kobexindo to reclaim unproductive mines after five years operation, not waiting until it has ended its mining activities in the area.

Sangatta is part of East Kutai regency where coal miner PT Kaltim Prima Coal also operates. (*)