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Wednesday, 25 August 10
BUKIT ASAM OUT TO BECOME BIGGEST COAL PRODUCER


The Jakarta Post reported that, State-owned PT Batubara Bukit Asam Tbk intends to become the country's biggest coal producer in 2016 with production expected to reach 70 million tons a year, an official says.

Bukit Asam president director Sukrisno expressed his optimism on Wednesday the company would meet its target, which would enable it to beat PT Adaro Tbk.'s production of around 45 million tons a year.

"With the additional coal shipping railway infrastructure and coal collection port we are optimistic we will become the biggest national player," Sutrisno told Antara news agency at the signing of cooperation to develop a 270-kilometer long coal shipping railway from Tanjung Enim to Tanjung Api-Api.

Sukrisno said the company's present capacity is around 12 million tons a year but is expected to reach 15 million tons next year.

The coal railway line is expected to help Bukit Asam to boost production. The US$1.6 billion project is expected to operate in 2014 with a load capacity of 35 million tons a year.

Sukrisno said the railway project was expected to increase coal shipping capacity significantly.

"With the completion of several infrastructure projects our production is expected by 2014 to reach 50 million tons a year," he said.

The company has 6.5 billion tons in coal reserve.
Source: The Jakarta Post



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