Ann: Infrastructure Development MOU, page-101

I don’t have much idea in coal mining, but looking at the announcement it seems like Cka is trying to enhance the current logistics they have at this moment. it doesn’t mean the currently logistics they have will not work, but they will have challenges transporting coal during heavy rainy season and dry season to Batu Tuhup, also challenges for customers to collect the coal from Batu Tuhup. Management should have identified these challenges and should have planned their logistics accordingly, at least now they know what to do:

In summary:

Cka haul road upgrade, and additional haul road from other company will have additional capacity to transport coal to Batu Tuhup

Access to ISP: Cka can store more coal during wet season. Hence customers can load coal even during heavy rainy season and dry season, they don’t need to come to Batu Tuhup.