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World News | February 2011

SPML Infra to double coal output at Indonesian mine

SPML Infra has targeted to double the production at its Indonesian coal mine to two million tonne per annum (mtpa) in the next two years. The production this fiscal will be short of the targeted of one million tonne (mt) and it plans to increase it 1.5-2 million tonne in two years. SPML bought the PT Bism mine in the East Kalimantan province in 2008 along with power equipment maker Emco for $40 million. SPML holds 55 per cent and Emco the rest in the mine, which is spread over 5,000 hectare and has reserves of 100 mt. The maximum production from this mine can go upto three mtpa, which will take over three years as it involves additional expenditure.

SPML began mining in November 2009 producing 20,000 tonne a month initially which has been raised now to 70,000 tonne per month. Currently it sells only to locals but has plans to export to Asian countries including India. The coal terminal at the mine, including the jetty, has a capacity to handle 2.5 mtpa.
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