Name and Location
Bumi Barito mineral (BBM) coal project, Kalimantan, Indonesia.

Client
Cokal.

Project Description
The BBM project has Joint Ore Reserves Committee-compliant resources of 77-million tons.

An initial development study on the project has confirmed that the project has a sound technical and economic basis for a potential openpit, premium quality openpit coal mine.

The study proposes using mining contractors operating an openpit mine. The initial Stage 1 mine is based on a direct shipping, low-cost operation, directly mining from the current resources.

The production profile comprises two stages.

The first stage involves initial mining and ramp-up, delivering up to 2-million tons a year of run-of-mine production. During this phase no coal handling preparation plant (CHPP) will be required.

Stage 2 involves an expansion concept case, requiring additional capital expenditure and a CHPP.

Value
The estimated development capital required for BBM to deliver Stage 1, including a haulage road and all necessary transport and site infrastructure, is $100-million.

Duration
It is envisaged that Stage 1 production at BBM will begin in the second quarter of 2014.

Latest Developments
Cokal has started further detailed work and studies in areas where it has identified critical path scheduling issues and/or technical requirements to start production at BBM.

In conjunction with the positive community feedback from the company’s local programmes, Cokal believes it has a tremendous opportunity to provide positive benefits for the local, provincial and national arenas.

The board has given permission to finalise the studies and complete regulatory and legal obligations for operations to start the staged development.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Cokal, tel +61 7 3001 4100 or email info@cokal.com.au.