Following the successful delivery of a 40,000-mt trial cargo, the contract will have a 12-month term. OGL’s Jongkang coal mine is being operated at 25,000 mt per month producing a premium coal product with a calorific value of 6,950 cal/g, 2% ash and 0.7% sulfur. The Jongkang product will be complemented by the purchase of additional, lower energy coal from a neighboring supplier to allow the company to supply 50,000 mt per month. The coals will be blended at the Jongkang stockpile facility on the Mahakam River to meet the Chinese specification requirements of GCV 6,300 cal/g energy, maximum 12% ash and 1% sulfur content. Earthmoving equipment, which has been rented by OGL, was mobilized to the Jongkang mine site in mid-August and has recommenced overburden removal. The Jongkang operations will supplement coal output from OGL’s Rahmat project, which is simultaneously being developed to produce at 50,000 mt per month. First production of Rahmat coal is expected for September 2010.

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