Banpu's Indonesian Jorong coal mine targets reopening
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Natane [2011-05-20]
Indonesian producer Indo Tambangrayah Megah (ITM) expects its Jorong coal mine in south Kalimantan to reopen by mid-August, having been closed earlier this year because of bureaucratic problems.
ITM, controlled by Thai conglomerate Banpu, said the Jorong mine had obtained an extension of the land usage permit from the forestry ministry and will be allowed to resume operations after a six-month halt. The mine was closed in February mainly because of overlapping regulations of different ministries, according to Banpu.
It will take until around the end of next week before the mine can be fully operational, ITM said, as the mining area needs to be restored to its previous condition and the current idle equipment will have to be reconditioned.
Jorong produced 400,000t in the first quarter before it was shut but its output target for the full year remains at 2mn t.
ITM has six mines in Kalimantan, including Jorong, producing mainly sub-bituminous coal and is targeting output of 23mn t this year. First-quarter production was 6mn t, with 5.2mn t expected for the second quarter.
The company has four mines in east Kalimantan, with Kitadin-Tandung Mayang to start producing coal next year. The Indominco mine had output of 3.7mn t in the first quarter, with 3.4mnt estimated for the second quarter and full-year target production of 13.2mn t. Trubaindo's first-quarter output totalled 1.6mn t, with 1.4mn t expected for the second quarter and a full-year target of 6mn t. Kitadin-Embalut produced 400,000t of coal in the first quarter with forecast output of 400,000t in the second as it targets 1.6mn t for 2010.
ITM's central Kalimantan mine Bharinto is set to start production in this year's fourth quarter with a 2010 output target of 200,000t.