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Indonesia’s Bumi Resources approved for 80 million tons of output

According to foreign media reports, the mining work plan and budget (RKAB) for the next three years submitted by Indonesian Bumi Resources to the Indonesian Ministry of Energy and Mineral Resources (ESDM) has been confirmed to be approved.

Bumi Resources is Indonesia’s largest coal producer. The company’s CEO Dileep Srivastava said that two of the company’s subsidiaries, Kartim Prima Coal Company (KPC) and Arutmin Company (Arutmin), have obtained A special mining license (IUPK) issued by the Indonesian Ministry of Energy and Mines.

Dilip said that the mining licenses obtained by the two subsidiaries of Bumi Resources are from 2024 to 2026. The company’s coal production target for 2024 has not yet been finalized, but the coal production of the two subsidiaries is expected to be about 80 million tons for the whole year, which is higher than the previously expected 78 million tons and also higher than the output in 2023 and 2022.

Andrew Beckham, director of Bumi Resources, said that capital expenditure per ton of coal is usually between US$0.5 and US$1, so coal production capital expenditure in 2024 will be approximately US$40-80 million. He also introduced that the two subsidiaries of Kardim Prima Coal Company and Alutemin Company currently have sufficient coal reserves and maintain a high level of production capacity.