COAL PRODUCTS BUSINESS ACTIVITIES AND PROSPECTS OF THE COMPANY AND SUBSIDIARIES
Kusan block was identified to have 41 coal layers and sub-
layers. The thickness of coal layers range from 0 to 26.4 meters.
Girimulya block was identified to have 36 coal layers and
sub-layers. The thickness of coal layers range from 0 to 13.0 meters.
BIB’s coal which is currently sold to customers is the product of Batulaki and Sebamban blocks with calorific value ranges
from 5,200
kcalkg to
5,700 kkalkg
adb. General
specifications of the BIB’s coal are summarized in the table below:
Coal Specification Batulaki Block
Sebambang Block Kusan Block
Girimulya Block
Tot al M oist ure ar 33.00
39.00 34.90
35.10 Inherent
moist ure adb
15.00 13.00
15.10 15.20
Ash cont ent adb 3.90
5.50 6.70
7.60 Tot al Sulfur adb
0.16 0.22
0.20 0.30
Calorific Value adb kkal kg
5,700 5,500
5,300 5,200
Sour ce: The Independent Technic al Repor t of SMGC on Febr uar y and Mar c h 20 11
Coal Products OF KIM
Coal reserves of KIM and its subsidiaries are sub-bituminous type of coal which were formed in Pliocene age and were
included in Muara Enim formation. The mining areas of KIM and its subsidiaries were identified to have eight layers and sub-
layers with six main layers. The thickness of coal layers range between 0.32–2.2 meters.
Currently, coal products of KIM are sold without going through the washing process. ROM coal from the mining area of KIM are
crushed to size 50 mm to produce coal products that meet the needs of todays market.
Coal products of KIM and its subsidiaries which are currently sold to customers have calorific values range between 5,600-
6,000 kcalkg adb. General specifications of KIM’s coal are summarized in the table below:
Coal Specificat ion KIM
Tot al M oist ure ar 25.00
Inherent moist ur e adb 13.00
Ash cont ent adb 16.50
Tot al Sulfur adb 1.00
Calorific Value adb kkal kg 5,600-6,000
Sour ce: The Independent Technic al Repor t of SMGC on Febr uar y 2 011
Coal Products of TKS
Coal reserves of TKS are bituminous type of coal which were formed in Eocene age and were included in Tanjung coal
formation, Oligocene age Montalat formation and Miocene age Warukin formation. There are at least 13 layers and sub-layers
identified in this mining area. The average thickness of coal layers range between 0.5–3.4 meters.
General specifications of TKS’ coal are summarized in the table below:
Coal Specificat ion TKS
Tot al M oist ure ar 24.79
Inherent moist ur e adb 14.88
Ash cont ent adb 7.64
Tot al Sulfur adb 1.97
Calorific Value adb kkal kg 5,700-6,100
Sour ce: The Independent Technic al Repor t of Danm ar Explor indo on Febr uar y 2 0 11
Coal Products of MAL
MAL’s coal is included in sub-bituminous coal with high total moisture content, medium and low level of ash content and low
sulfur coal. The estimated average calorific value of coal products of MAL is 5,200 kcalkg adb.
General specifications of MAL’s coal are summarized in the table below:
Coal Specificat ion M AL
Tot al M oist ure ar 44.2
Inherent moist ur e adb 14.1
Ash cont ent adb 9.5
Tot al Sulfur adb 0.4
Calorific Value adb kkal kg 5,211
Sour ce: The Independent Technic al Repor t of SMGC on Febr uar y 2 011
Coal Products of NIP
NIP’s coal is included in sub-bituminous coal with high total moisture content, medium and low level of ash content and low
sulfur coal. The estimated average calorific value of coal products of NIP is 5,200 kcalkg adb.
General specifications of NIP’s coal are summarized in the table below:
Coal Specificat ion NIP
Tot al M oist ure ar 43.5
Ash cont ent adb 14.4
Tot al Sulfur adb 0.36-2.0
Calorific Value adb kkal kg 4,868-5,472
Sour ce: The Com pany
To ensure that the customers will receive products of coal in accordance with the specifications of the contract agreed
upon, the Company exercise control over product quality of coal carried from exploration stage to the mining stage,
transporting, crushing and loading coal. Quality control is conducted by analyzing the products in a regular basis in an
independent laboratory such as Sucofindo and Geoservices.