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Adaro to Boost Coking Coal Production, Widen Global Market

PT Adaro Energy is accelerating the production of coking coal this year.

Rep: Intan Pratiwi
The office of Adaro Energy (ADRO) in Jakarta
Republika/Yogi Ardhi The office of Adaro Energy (ADRO) in Jakarta

REPUBLIKA.CO.ID, JAKARTA -- PT Adaro Energy is accelerating the production of coking coal this year. In the long term, Adaro's coking coal production will be balanced with thermal coal production.

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Adaro Energy Chief Finance Officer Lie Luckman explained that in the last year Adaro sold 1.5 million tons of coking coal. As to the company will increase production from coking coal mines, Adaro targetting sales of coking coal to reach 2.4 million tons.

"So our target this year is higher, for coking coal to double," Lie said virtually, Monday (19/4).

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Lie explained the majority of Adaro's production and sales are thermal coal. Adaro will focus on maximizing production from coking coal and also widen the international coking coal market this year.

Adaro hopes to reach 3 million tonnes or more over the next two to three years.

Lie explained the global coking coal market demand is quite promising. Several countries producing steel and becoming a leading commodity have expressed their interest in Adaro's coking coal.

"Japan is quite strong. China and Indonesia too. We continue to open up the coking coal market and we have had roadshows to several countries, especially Asia that producing steel. India and Japan are very interested in our coking coal," said Lie.

Adaro Energy is the second largest mining company in Indonesia, which mainly runs coal mining operations in South Kalimantan and Central Kalimantan under a Coal Cooperation Agreement (CCA).  

Adaro is also the largest coal company by market capitalization. Adaro is also listed on the Indonesian stock exchange with the code ADRO.


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