The coal mine owned by PT MNC Energy Investments Tbk ( IATA ) has found additional reserves. Proven coal reserves from the 4 Mining Business Permits (IUP) owned by IATA increased to 201.32 million MT from the previous 158.68 million MT. According to the Indonesian Mineral Reserves Committee (KCMI), one of the IUPs recently acquired by IATA, PT Arthaco Prima Energy (APE) managed to find additional reserves of 37 million MT with a GAR of 2,500 – 3,250 kg/kcal in the APE drilling program Phases 1 and 2 on an area of 660 Ha, of the total area that can be explored is 15,000 Ha.
IATA is also drilling for another IUP, PT Indonesia Batu Prima Energi (IBPE), and KCMI reported discovery of reserves for IBPE Phase 1 of 6.22 million MT with a GAR of 3,375 kg/kcal in an area of 960 Ha, of the total area that can be explored. an area of 15,000 ha. The other IUP coal reserves are PT Bhumi Sriwijaya Perdana Coal-N (BSPC-N) of 83.27 million MT and Putra Muda Coal (PMC) of 76.9 million MT.
In total, the proven coal reserves from these 4 IUPs amounted to 201.32 million MT, an increase from the previous 158.68 million. IATA management in the disclosure of information on the Indonesia Stock Exchange (IDX) on May 30, 2022 explained, using the average price of HBA coal from 2021 to May 2022, the mining activities of Arthaco Prima Energy and Indonesia Batu Prima Energi will generate a Net Present Value (NPV). ) of US$ 220.4 million and US$ 34.9 million, respectively, with an Internal Rate of Return (IRR) of 55.2% and 59.5%, Break-Even Point (BEP) of 7.29 million MT and 1.94 million MT, as well as Payback Period of 2.06 years and 1.54 years, respectively.
The discovery of coal reserves and resources, admitted by IATA management, will continue to increase because the drilling of Arthaco Prima Energy and Indonesia Batu Prima Energi which is currently being carried out collectively, has not reached 15% of the total area that can be mined. APE's Phase 3 drilling is scheduled for completion this quarter, while Phase 4 drilling is scheduled to be completed by the middle of the following quarter.
Arthaco Prima Energy and Indonesia Batu Prima Energi each have an operating IUP of 15,000 hectares in Musi Banyuasin, South Sumatra. The APE mining site is only 12.5 km from the river and about 108 km to the transhipment area at Tanjung Buyut Port. Meanwhile, the IBPE mining location is 5 km from the port and has the same distance of 108 km to the transshipment area at the Tanjung Buyut port. Both APE and IBPE are targeted to start production this year.
Currently, other IUPs owned by IATA are PT Bhumi Sriwijaya Perdana Coal – South (BSPC-S), PT Primaraya Energi (PE), PT Titan Prawira Sriwijaya (TPS), PT Sriwijaya Energi Persada (SEP), and PT Energi Inti Bara Pratama. (EIBP) is said to still need further drilling. Meanwhile, IATA management revealed that drilling activities are still ongoing and proven reserves will continue to grow if exploration results show new coal findings. IATA estimates that coal reserves for all IUPs are at least 600 million MT.
Source: https://industri.kontan.co.id/news/cadangan-batubara-terbukti-mnc-energy-iata-dari-4-iup-naik-jadi-20132-juta-mt
