Cokal jetty construction on track

Jakarta,- Cokal has announced that construction of the Batu Tuhup permanent jetty is tracking well, with the weighbridge works having been 70 percent completed.

The metallurgical coal developer also revealed that load cells and other materials have been dispatched to the site, with the installation expected to be completed by the end of the month.

Conveyor fabrication works remain ongoing and structural works involving 75 tons (t) of steel have been completed. An additional 25t of fabrication is also currently in progress.

Cokal revealed last week that the current hauling of coal products from the Bumi Barito Mineral (BBM) metallurgical coal mine to the Batu Tuhup jetty will continue uninterrupted alongside the haul road upgrade.

The company has now announced that BBM is expected to achieve one monthly sales contract, starting in February.

Coal trading company Sumber Global Energy (SGE) remains contracted to purchase BBM products for the domestic market, but it hasn’t provided any sales yet due to its concentration on other thermal coal projects.

“This has not impacted Cokal’s sales opportunities as there are several parties both domestic and international seeking BBM products,” Cokal said.

“The underlying financial arrangement is based on SGE’s coal sales only and as such does not affect Cokal’s financial and coal sales profile.”

BBM’s ramp-up of saleable production includes forecasted domestic and export sales that depend on the best price realization for Cokal, and the company’s previously announced offtake and marketing arrangements will continue to determine payment terms for sales.

Cokal owns 60 percent of the BBM mine and the Indonesian Government owns the remaining 40 percent. The mine is located in the Kalimantan Province of Indonesia.

Sources : Jan 23.24

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