UT expects production from newly acquired coal mine in ?11

IDX-listed firm heavy equipment distributor and miner PT United Tractors Tbk (UT) said coal production from its newly acquired coal mine PT Bara Agung Prima (BAP) will start early next year.

Corporate Secretary Sara Loebis told Petromindo.Com that the mine is set to produce 500,000 tonnes next year.

Sara said that the greenfield mine could be brought into production relatively quickly as it would share infrastructures and port of its parent company PT Tuah Turangga Agung, which is located nearby. UT has 93% shares in TTA, which in turns has 60% stake in BAP.

She added that the mine will produce coal with CV of around 6,300kcal/kg (ADB). BAP has around 20-30 million tonnes of mineable reserves.

UT?s other subsidiary PT Pamapersada Nusantara will be appointed mining contractor, she said, adding that UT is still scouting for potential buyers for the mine?s future production. (denny)