Coal Age Magazine - For nearly 100 years, Coal Age has been the magazine that readers can trust for guidance and insight on this important industry.
Issue link: https://coal.epubxp.com/i/144796
indonesian coal continued around 3% and calorific value of around 4,800 kcal. The Paringin deposit extends south of the Balangan River. Since it began production in 1991, Adaro has used open-pit mining methods to produce coal with primary waste stripping by hydraulic excavators and dump trucks. Under the Coal Contracts of Work (CCoW), the mine's life is due to expire in 2022 with an option of two extensions of 10 years. South Sumatra Developments to be completed in 2013. On November 20, 2012, the haul road was officially commissioned by the South Sumatra governor. Phase 1 of the Muara Lematang stockpiling and barge loading facility was also completed and 10 barges and 70,000 mt were loaded prior to the end of the year. The facility will be expanded to an annual capacity of 30 million mt over the next few years with future upgrades planned and timed in accordance with market demand. SMS is 35%-owned by Adaro Energy through ATA. Other Developments IndoMet Coal, a joint venture between BHP Billiton and Adaro Energy, is continuing the development of seven CCoWs in Kalimantan. IndoMet Coal continues to assess development options across all seven CCoWs and is constructing access roads and developing port facilities. In the fourth quarter of 2012, PT Bhakti Energi Persada (BEP) continued to work toward getting the required government permits, acquiring land, securing Adaro Energy's investments in PT Mustika Indah Permai (MIP), PT Bukit Enim Energi (BEE) and PT Servo Meda Sejahtera (SMS) are part of its strategy in South Sumatra to replicate the proven success of its business model in South Kalimantan to create long-term, sustainable value from Indonesian coal. During the last quarter of 2012, MIP continued pre-stripping activities at the mine site with stockpile and water control facilities also built. At the end of 2012, more than 1 million bank m 3 of material had been removed exposing up to 125,000 mt of coal. Land purchasing progressed and coal crushing started to build stockpile bases. The company continued to build orders for the sale of Ultima, the brand name of MIP's low pollutant, low heat value coal, to end users in Indonesia, China, India, Taiwan, Thailand, the Philippines and Vietnam. MIP is 75%-owned by Adaro through PT Alam Tri Abadi (ATA). During the fourth quarter of 2012, development alternatives for BEE were studied with the aim of producing a work program and budget for approval by shareholders. Exploration has included surface geological and aerial topographic mapping, sampling and 13,100 m of exploration drilling. An additional exploration drilling program is being carried out in the BEE mining area to provide supplementary data for the preparation of a JORC report on the area's reserves and resources. Base line environment and social programs have started. From exploration results to date, BEE is considered compatible with Adaro's other investments in electricity generation and is being promoted as a longterm, high volume fuel supply for a dedicated mine-mouth base-load power plant. BEE is 61.04%-owned by Adaro Energy through ATA, 20% by PT Pamapersada Nusantara, 13.92% by PT Triputra Utama Selaras, and 5.04% by PT Bumi Alam Sejahtera. SMS completed all earthworks and road surfacing during the final quarter of 2012, while some permanent bridges are expected July 2013 www.coalage.com 47