Bukit Asam Prepares to Tap Brunei's Coal Market
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14 July 2020 17:04 WIB
TEMPO.CO, Jakarta - Coal miner Bukit Asam (IDX: PTBA) is preparing to expand its market to Brunei Darussalam. Corporate secretary Apollonius Andwie C said the corporate strategy is motivated by the low coal demand in traditional markets, such as India, that are experiencing high numbers of Covid-19 infections.
Before, the company has never ventured into the neighboring country's market. "In the future, [Brunei] can be a long-term market," he said in a press conference in Jakarta, July 14.
Apollonius said that the lockdown in India has disrupted coal export activities as ports were closed. As a result, Bukit Asam's export fell by about 20 percent.
Weak demand has also caused global prices to plummet.
Indonesia is targeting to export 400 million tons of coal this year. As of May 31, only 175.15 million tons have been actualized—a decline of 10 percent compared to the same date last year.
The government is now intensively approaching new markets, including Bangladesh, Vietnam, Pakistan, and Brunei Darussalam.
Read: Indonesian Coal Exporters Eyeing New Markets in Asia
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