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Golden Energy secures nod to raise coal production at Indonesian concession
GOLDEN Energy and Resources has obtained approval from the Indonesian government to raise annual coal production from its PT Borneo Indobara concession to 7.5 million tonnes, the coal mining and trading company said on Monday after the market closed.
The new cap represents a 19 per cent increase from Golden Energy's 2015 output of 6.3 million tonnes. Subject to market demand and government approvals, Golden Energy hopes to further raise output from the 24,100 ha concession area to 12 million tonnes in 2017.
Golden Energy group chief executive Fuganto Widjaja said in a statement that the approval was a "significant step" in allowing the company to hit its target output of 12 million tonnes.
Shares of Golden Energy are currently suspended pending a placement exercise to restore its public float. The Sinar Mas group current holds a 94.2 per cent stake in the company.