STX eyes $200m sales from Indonesian coal mine

STX Corp. plans to increase revenues generated from its coal mine in Indonesia to $200 million next year, and push up the mine’s output to 5 million metric tons by 2013.

STX Corp. acquired 40 percent of the mine from the Indonesian mining firm PT Indoasia Cemerlang at the beginning of the year for $30 million. The deal also granted STX Corp. exclusive rights for operating and sales rights over the mine.

“Through additional development and investment, (the company) plans to increase the annual output to over 5 million tons from the current 1.8 million tons,” STX Corp. president Kim Dae-yoo said at the board of directors meeting held in Indonesia.

At present 1.9 million square meters of STX Corp.’s Kintap property is being mined, but the company plans to increase the area being mined to 9 million square meters next year.

The company added that once the facilities for loading coal is completed, additional investments will be made in nearby mines to raise its annual coal output to over 5 million tons.

According to the company, its annual coal trade volume will rise to 8 million tons from 2013 and sales from related operations will rise to about $600 million.

By Choi He-suk (cheesuk@heraldcorp.com)