UT to expand intermediate stockpile at Teluk Timbau

Indonesia-listed heavy-equipment distributor and coal mining firm PT United Tractors (UT) said on Thursday that its PT Tuah Turangga Agung (TTA) coal mine in Kapuas Tengah regency, Central Kalimantan sold 699,000 tonnes of coal during Jan-Sept period despite coal barging delivery problem due to lower water level in Barito river.

?Although TTA has succeeded to increase its production capacity as targeted, recent few dry months, has lowered the water level at Barito river, thus hampering the coal barging delivery from TTA,? UT said in statement.

However, along with the start of rainy season on the fourth quarter, UT expects the problem to be resolved soon. In the future, UT will continue to mitigate the problem by expanding the Intermediate Stockpile (ISP) at Teluk Timbau.

The company did not give detail about the expanding of ISP.

Meanwhile, its other coal mine PT Prima Multi Mineral (PMM), formerly called DEJ mine in South Kalimantan produces 2.51 million tonnes of coal as of September.

Overall, increase in coal sales volume and average coal price augmented the revenue of coal mining segment by 83.9% to Rp3.91 trillion, from Rp2.13 trillion. Gross profit margin until September 2011 was 13.0%, slightly declined mainly due to higher fuel cost compared to the first nine months last year. (denny)