Second contractor appointed at BBM
KALGOORLIE (miningweekly.com) – Coal developer Cokal Coal has appointed a secondary mining contractor at its Bumi Barito Mineral (BBM) mine, in Indonesia.
Contractor PT. Citarum Borneo Quantum (CBQ) has been appointed to undertake openpit overburden mining services, and has already started mobilising equipment to the mine site.
Cokal told shareholders that the appointment of a secondary contractor, in addition to PT Harmoni Panca Utama (HPU), would ensure that the BBM mine was able to be developed on time, and that initial saleable coal production was delivered by the September target.
The appointment of a secondary contractor would also provide a lower-cost alternative to HPU, and created the potential to increase yearly production capacity at BBM by using both of the mining contractors.
Cokal will undertake its own coal mining activities, given the contract with CBQ is limited to overburden removal.
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