JAKARTA, Reuters) - Indonesia's state power firm is negotiating with two coal producers, including a unit of PT Bumi Resources Tbk (BUMI.JK), to defer a contract to supply coal to a power plant in West Java, the state firm said on Wednesday.
PT Perusahan Listrik Negara (PLN) wants to set aside the coal for its strategic reserves as its heating value is too low for use in the Suralaya power plant, Pudji Widodo, PLN's head of coal, said.
PT Arutmin Indonesia, a unit of Bumi, Indonesia's largest coal producer by volume, and PT Kasih Industri have contracts to supply a combined 2.1 million tonnes of low-quality coal annually to the 3,400 MegaWatt power plant, starting in 2009. more...
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