OPERATIONS

The coal deposit in the concession are ideally mined using conventional open pit-mining methods utilizing trucks, excavators, loaders and bulldozers for both overburden removal and coal mining.

Experienced mining contractors carry out all mining operations under long term contracts,. Each mine location has separate mining contractors under the strict supervision of the Company.

Lati Area

From the Lati mine the coal is blended to produce the brands of Agathis and Sungkai.

Total mineable coal reserves delineated in Lati to-date are in excess of 745 million tonnes.

The coal is extracted using hydraulic excavators and loaded into dump trucks. From the mine it is transported over an all weather haul road, a distance of some 11 kilometres to the coal processing plant. The coal is crushed blended and placed onto stockpiles. It is then loaded into barges.

Binungan Area

From the binungan mine the coal is blended to produce the brands of Eboy and Mahoni/Mahoni-B.

Total mineable coal reserves delineated to-date in Binungan Blocks 1-4, Block 5, 6 & 7 are in excess of 300 million tonnes.

Mining is similar to that of Lati. From the mine the coal is transported to the curshing plan a distance of some 2.5 kilometres.

The coal is curshed, blended and loaded into trucks. From there it is transported over on all weather road, a distance of 28 kilometres, to the Suaran coal terminal where it is blended into the product stockpile. It is then loaded into barges.

Sambarata

From the Samabarata mine the coal is blended to produce the brand of Ebony.

Total mineable coal reserves delineated to-date in Sambarata are in excess of 190 million tonnes.

Mining is similar to that of Lati and Binungan.

From the mine coal is transported to the coal processing plant a distance of some 2.0 kilometres . The coal is crushed blended and placed onto stockpiles. It is theen loaded into barges.