From Bloomberg:
Indonesia Coal Output Reaches 90% of 2010 Estimate (Update1)
2010-10-14 09:54:24.416 GMT
(Adds 2011 forecast in second paragraph.)
By Bambang Djanuarto
Oct. 14 (Bloomberg) — Indonesia’s coal production reached 280 million tons at the end of September, or 90 percent of this year’s estimate, as rising demand spurred producers to boost output next year, a mining group said.
Output may rise to 340 million metric tons next year from an estimated 310 million tons this year, Bob Kamandanu, the chairman of the Indonesian Coal Mining Association, told reporters in Jakarta today. The group had targeted output of 320 million tons for this year.
Indonesian coal producers are boosting output to meet domestic and overseas demand. India will pass Japan to be the biggest buyer of the fuel from the world’s largest exporter after Australia by 2011, Kamandanu said Sept. 21.
Lower-than-targeted production in Indonesia this year because of heavy rains, and strong Indian demand may support coal prices to reach $102 a ton by year-end and may average $90 to $100 a ton next year, Kamandanu said.
Power-station coal prices at Australia’s Newcastle port, an Asian benchmark, fell 0.4 percent to $94.95 a ton in the week ended Oct. 8 from the previous week, according to the globalCOAL NEWC Index.
To contact the reporter on this story:
Bambang Djanuarto in Jakarta at +62-21-2355-3022 or bdjanuarto@bloomberg.net
To contact the editor responsible for this story:
Greg Ahlstrand at +62-21-2355-3025 or
gahlstrand@bloomberg.net