Name of the Project
Bumi Barrito Minerals (BBM) pulverised coal injection startup project.

Location
Close to the Barito river, in Kalimantan, Indonesia.

Project Owner/s
Cokal subsidiary PT Bumi Barito Minerals.

Project Description
BBM contains a Joint Ore Reserves Committee-compliant coal resource estimate of 266.6-million tonnes comprising 19.5-million tonnes measured, 23.1-million tonnes indicated and 224-million tonnes inferred resources.

The project involves the development of a two-million-tonne-a-year opencut mining operation over ten years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
$68-million.

Planned Start/End Date
Initial construction is expected to take about 12 months, with first production from BBM scheduled for the first quarter after construction is completed.

Latest Developments
PT Bumi Barito Minerals has executed a capital participation agreement with International Commodity Trade (ICT) for the provision of $20-million in funding.

The debt finance can be drawn down in multiple tranches, starting in July 2021, with every tranche repayable within five years from the date of drawdown.

The subsidiary has also entered into a binding international coal marketing agreement with ICT, which will enable BBM to market its coal to the international market, and will assist the subsidiary in financing its coal stockpile at the river jetty. In return, BBM has agreed to provide international coal market rights for ICT for overseas markets.

A minimum of eight-million tonnes of coal will be allocated to ICT over eight years, with first delivery expected in December 2021. 

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Cokal, tel +61 7 3212 6299 or email info@cokal.com.au.