REPUBLIKA.CO.ID, JAKARTA – The Ministry of Energy and Mineral Resources notes that national coal production reaches 90 million tonnes on the first quarter of 2012. The volume is increased 49.5 percent from the production in 2011, which is 60.2 million tonnes. About 90 percent from 90 million is exported.

“The increase achieves along with the improvement of production in new mining. It has become our target,” the Director of Coal Mining and Development at the Ministry of Energy and Mineral Resources, Edy Prasodjo, said on Tuesday.

Meanwhile, the realization of Indonesian coal export reaches 75 percent and it includes the total value of low rank coal and high rank coal. Low rank coal has high moisture content or almost 80 percent water, energy content, low calorie, and less efficient. It is typically soft, and fragile. High rank coal has low moisture content, high energy, high calorie, and more efficient.

Yet, he refused to mention the impact of the release of export tax on mineral. Earlier, the Ministry of Finance would release mineral export tax in the first semester of 2012. The policy on the Minister regulation is the follow-up of the Minister of Energy and Mineral Resources Regulation number 7/2011 on prohibition of raw mineral export on 2014.

The Executive Director for Indonesian Coal Mining Association (APBI), Supriatna Suhala, predicted the production of national coal was above the government’s data. “It is about 95 to 100 million tonnes,” Suhala said.

Yet, he agreed with government that the increasing of the production was due to many new mining, such as PT Bukit Asam in Riau Province.

APBI predicts the coal production will reach 390 million tonnes, higher than the realization of the production last year, which is 370 million tonnes. 

But, the price of coal decreases globally on the last three months. It is predicted to be in 115 USD to 95 USD per tones, due to new players from Canada, Kenya, and Mozambique. While the Mongolian coal supplies China’s demand. 

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