Usaha Baratama to produce 1.5m tons of coal in 2014

By Tri Subhki R

Coal mining company PT Usaha Baratama Jaya (UBJ) will produce 1.5 million tons of coal this year, a 50 percent increase from 1 million tons in the previous year, according to UBJ?s Managing Director Candra Hoksun.

?We will ramp up coal production to 1.5 million tons this year,? he told Petromindo.com.

He voiced his optimism the coal market will be in an uptrend on the uptrend this year. He said that the company does not have any problem with market demand as it produces coal with a calorific value of 4,300 kcal/kg (GAR).

Currently, UBJ produces coal from its concession in Sungai Danau, South Kalimantan. To ramp up coal production, the company is considering opening other coal mines in South Kalimantan and East Kalimantan this year. ?There are some legal issues to open coal mine in East Kalimantan,? he said.

The two mines cover about 1,200 hectares of concession area and are estimated to contain coal reserve with calorific value of 5,000 kcal/kg (GAR), higher than that of the current producing mine.

Editing by Johannes Simbolon