Samindo Encourages Coal Production

JAKARTA - PT Samindo Resources Tbk (MYOH) is optimistic that mining service business performance will be positive this year.

The Company has developed many innovations as a provider of coal mining services with PT Bayan Resources Tbk and with KIDECO. Director of Operations MYOH Ahmad Saleh said in the third quarter of this year it seeks to boost the production of overburden removal that had stalled during the first half of 2017 in two major locations.

Until the end of third quarter 2017, through its contract with Bayan, the company coded MYOH issuers is targeting can do overburden removal production up to 2.6 million bcm. "Until the end of the third quarter the company's performance has started positive.

The proof, the production that has been done in Bayan has reached 1.3 million tons bcm, "he said in Jakarta yesterday. He explained his target of 2.6 million tonnes of bcm this year. So, still less about 1.3 million bcm again. Divided by three months, about 400,000 bcm per month.

But the achievement in September to 500,000 bcm. MYOH's coal mining services contract with Bayan Resources will end in 2019. He hopes with a positive MYOH performance and can complete its performance on target, the contract can be renewed again.

The overburden removal contract targeted to 2019 reached 15 million bcm. "If we look at our good performance, that the progress of our target achievement can be completed, there is possibility we can upgrade according to our achievement," he said.

In addition to contracts from Bayan Resources, a 15-year project in Kideco has also begun improvements after decreasing intensity of rainfall and the impact of strategic in-pit dumping areas that are beginning to produce positive results.

He revealed that the coal production target in Kideco through Samurangau mining area this year reaches 40 million tons and Roto Nort mining area reaches 8 million tons per year. "Now the realization reaches 75% of the target," he said.

The Company continues to expand its wings through businesses other than its core business as an integrated coal mining service provider. Until now the company is still exploring the acquisition of coal mines. Especially Mine Mouth Coals Mine and the construction of Mine Mouth Steam Power Plant (PLTU) .