PT Rantaupanjang Utama Bhakti, which owns coal mines in Berau, East Kalimantan Province, said that coal production this year is projected to drop by more than 41 percent to 700,000 tons from realized output of 1.77 million tons (MnT) last year.
“The (coal) production plan (for this year) is 700,000 tons,” Rantaupanjang President Director Hanifah Husein stated. Coal overburden removal volume is projected to drop to 1.1 MnT from 3.7 MnT.
Hanifah did not provide further details. Several coal miners have previously said that they are scaling down production this year amid the lingering weak coal market.
The company’s coal production last year reached 1.77 MnT, which’s 2 percent higher than initial plan. The company claims it did not encounter many difficulties last year.
Hanifah said that the only obstacle was in re-vegetation activities last year due to the lengthy dry season, thus causing the re-vegetation program to only cover 70 percent of the initial targeted area.
Rantaupanjang last year sold 1.76 MnT of coal including sales to the domestic market and export markets of China, Thailand, India and the Philippines.
The company last year also realized overburden removal volume of 3.7 million bank cubic meters, slightly higher than initial plan of 3.5 million bcm.
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