Bumi Barito Mineral Coal Project (BBM) now complies with Indonesian environmental and mining regulations while covering the integrated development of the BBM mine, haul road and river barging terminal. The mining operations are planned for the eastern bloc of the BBM project for up to 6 million metric tons per year, and have been submitted to the Provincial Government’s Environmental Agency pending approval.

CDM Smith, a global engineering and environmental consultancy completed the survey, supported by smaller Indonesian consultants.

Cokal Executive Chairman Peter Lynch said the approval will enable the BBM to upgrade the BBM tenement from an IUP exploration to an IUP production/operation mining lease. “The approvals process remains on track to allow construction to commence in Q4 2013,” he said. The BBM project possesses metallurgical coal with properties for customers in the Asian sub-continent, while enhancing diversification. The site is in the Upper Barito Coal Basin, covering 19,920 hectares and lies adjacent to BHP Billiton’s Indomet Coal Joloi project.

Cokal is an international Australian metallurgical coal producer with four prospective metallurgical interests in Central Kalimantan. Cokal has also entered into a joint venture with Tanoz Resources for exploration in Tanzania, and with co-operation from the Mozambique Government Mining Corp., EMEM, to explore for coking coal.