White Energy seeking mixture of coal qualities in RI
Friday, September 7 2012 - 09:57 AM WIB
ASX-listed White Energy said that its representatives in Indonesia continue to work with PT Tri Mitra Bayan (?TMB?) to explore coal properties with mixture of coal qualities in Indonesia.
?The coal properties being considered by White Energy comprise a mixture of coal qualities. Most of the resources are likely to be suitable for upgrading using the BCB technology, which has the potential to greatly enhance the value of such projects,? the company said in the statement to ASX.
The company also expects that some of the resources in question will not require application of the BCB technology, and can be mined and sold directly into the export markets.
The shareholders of PT Kaltim Supacoal ("KSC"), a White Energy subsidiary, BCBC Singapore Pte Ltd ("BCBCS") and PT Bayan Resources Tbk ("Bayan"), are currently in dispute over matters relating to the Tabang coal upgrading plant, located at Bayan's Tabang mine in East Kalimantan, Indonesia.
As a result of the dispute, KSC suspended operations at the Tabang plant in late November 2011. The Tabang site was subsequently placed on a care and maintenance program.
The company said that at the time of suspension of operations at Tabang, the various plant modification works being undertaken at site were over 95 percent complete.
?The Directors believe that BCBCS took all steps to fulfill its joint venture obligations and that the failure of the Joint Venture is due to Bayan's failure to supply coal and provide funding to KSC and its purported termination of the Joint Venture Deed,? it said
Editing byAdianto P. Simamora