PT Kideco Jaya Agung (the “Company”) is one of few coal producer companies in Indonesia and currently being main supplier for domestic and global market, with a production of 22 million tons of coal in 2008. On Friday, January 16, 2009, the Company has signed a strategic mining cooperation agreement for a of 10 years, with PT Pamapersada Nusantara, Indonesia’s biggest mining contractor.
As the extension of a previous 5 years contract, this new cooperation will reach a value of US$ 3 billion and if combined with the previous cooperation, it would reach a total of US$ 3,3 billion and become the biggest cooperation at present.
The strategic cooperation agreement covers the work for removal of 90 million bcm of overburden per year and mining of 12 million tons coal per year, twice the production volume of the previous year.
This cooperation is believed will increase contribution to both domestic and global market.
