Coal operator Cokal has selected Harmoni Panca Utama to serve as contract miner for its Bumi Barito Mineral coal project in Indonesia’s Central Kalimantan province.
The contract is set to start within 90 days from 3 February and carries a five-year term.
The financial terms were not released, though Cokal officials said the deal will be funded by a US$20 million debt facility and coal sales.
Under the terms of the agreement, Harmoni will oversee overburden services, project management, mine planning, surveying, supervision and site security, materials equipment and maintenance, labour, transport, medical and site infrastructure.
BBM, a coking coal project, is the most advanced of Cokal’s properties.