Indonesia-focused Cokal has achieved first revenue from the sale of 23 000 t of metallurgical coal to International Commodity Trade (ICT) under an offtake agreement, the ASX-listed company announced on Wednesday.
The sale, comprising 8 000-million tonnes of coking coal and 15 000-million tonnes of PCI coal, would generate immediate revenue for the company and its 60%-owned Bumi Barito Mineral (BBM) mine, chairperson Domenic Martino stated.
Cokal has been paid 80% of the anticipated revenue from the sale, he reported.
“The coal has been sold into the export market as pricing and terms are superior to what is available in the Indonesian domestic market,” stated Martino.
He added that sales to local end-user clients in Morowali, Sulawesi, would start in early 2024.
The international coal marketing agreement with ICT formed part of a $20-million capital investment that ICT provided to Cokal to fund the development of BBM.