MEDAN, INDONESIA : With strong energy demand in India, Indonesia, the Philippines and Vietnam, in line with economic growth and infrastructure development, Banpu Plc plans to boost sales in these countries through its Indonesian coal mines.
Its Indonesian subsidiary PT Indo Tambangraya Megah manages five mines.
Banpu chief executive Chanin Vongkusolkit said his company will focus on sales growth in high-potential markets and does not need new investment.
The mines in Indominco, Jorong, Kitadin, Trubaindo and Bharinto have combined annual capacity of 30 million tonnes and have generated annual revenue of US$2.3 to $2.5 billion on average in recent years.
These mines also supply coal to China, Japan, South Korea, Hong Kong, Taiwan, Thailand and Malaysia.
Banpu's Indonesian subsidiary has coal reserves of 400 million tonnes, covering demand for the next 12-13 years.
India needs to improve its infrastructure, transport system and power plants to assist economic growth.
Its coal imports have risen to 100 million tonnes a year from 20-30 tonnes, while energy demand is expected to keep rising significantly in the long run.
Coal demand in the Philippines is rising in line with its economic development and strong population growth.
Vietnam, whose economy is growing by 6-7% per year, also imports coal in large volumes.
Despite having many coal-fired power plants, Vietnam needs additional infrastructure investment.
Indonesia's demand for coal has increased to 70 million tonnes a year.
"From our Indonesian coal mines, we export 3 million tonnes of coal per year to India and 2.3 million tonnes to the Philippines, while their demand is expected to continue increasing significantly in the long term. We're also dealing with Vietnam for energy sales," Mr Chanin said.
Shares of BANPU closed unchanged Friday on the SET at 27.50 baht, in trade worth 190 million baht.