BlackGold Natural Resources, through its subsidiary PT Samantaka Batubara (SB), has received a coal purchase order from Indonesian state-owned cement company, PT Semen Padang (Cement Padang). The order is valued at about US$12.6 million and will be filled from the group’s Riau coal operations.
Barring unforeseen circumstances, the group expects to complete the order within the next 11 months.
Founded in 1910, Cement Padang is a subsidiary of PT Semen Indonesia (Persero) Tbk, a cement manufacturing company listed on the Indonesia Stock Exchange and the largest cement distributor in Indonesia.
The group’s chief executive officer Philip Rickard said, “We are very pleased to receive this purchase order from Cement Padang. This order represents another critical milestone for BlackGold, as the group adds another esteemed state-owned company to its current portfolio of customers.”
Blackgold is an Indonesia-focused coal mining company targeting Indonesia’s rapidly growing power plant industry. Through its local subsidiaries, the group has the rights to three coal concessions in Riau, Indonesia.
Through its subsidiary PT SB, the Group has total JORC-compliant coal resources of over 200 million tonnes.
In early February PT SB completed its first coal delivery to the Indonesian state-owned electricity company, PT Perusahaan Listrik Negara (PLN Persero). It was the first of many deliveries under a Coal Sales and Purchase Contract signed between BlackGold and PT PLN Persero on December 1, 2016.
The contract provides for annual delivery of 500,000 tonnes of coal to the PT Tenayan project, a new 2 x 110 MW power plant in Riau province.