kangaroo to focus on bayan deal

http://theindonesiatoday.com/mining-headline/7569-kangaroo-to-focus-on-bayan-deal.html

Monday, 14 February 2011 09:13


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Theindonesiatoday.com - Kangaroo Resources will be focused on completing major transaction with Bayan in 2011, expected to close during the second quarter 2011.

In an interview with CEO Mark O?Keefe in ASX, CEO Mark O?Keefe said the company is committed to build up three separate coal production hubs in East Kalimantan, starting with Mamahak Semi Soft Coking Coal Project (MCM). Mamahak will ramp up over the next few months as further equipment is brought onto site, completion of additional infrastructure, 24hr a day operation commence, and longer term production plans.

MCM will commence mobilization of drill rigs to site to underpin the mid-term strategy to move the project to a production level of 50,000 tons per month by end 2011. The coal will be sold at port site/mine gate through PT Bayan Resources to the coal market.

In Pakar Thermal Coal Project, the company expected to complete other necessary issues by end 2011. Kangaroo plans to ramp up capacity to a production of 10-15 million tons per annum within the next five years. However, the mine still has not produced yet presently.

Kangaroo also intends to make the GPK Thermal Coal Project into production, expected in 2011. The company is completing the initial design for the infrastructure, re-commencing the exploration program, and completing the initial mine plans. With the all the plans having made, Kangaroo will appoint a sub-contractor by the end of 2011. Construction of infrastructure of the project expected to commence in third quarter 2011.

?Work has already commenced on all the requirements associated with bringing both of these projects into production and the Company will report on this accordingly as we progress forward,? O?Keefe commented.

?Having all three of these coal projects increasing production over the next 2-3 years will provide Kangaroo with a strong position within the Indonesian market, with a wide range of coal products in its portfolio at a time when coal demand is anticipated to increase significantly,? the CEO added. ( [email protected] This e-mail address is being protected from spambots. You need JavaScript enabled to view it )




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