It is reported that Indo Tambangraya Megah, the local coal mining unit of Thailand Banpu maintained strong growth in net income through the first half of 2012 as sales volume rose.

The company said in a statement for the from January to June this year, the company recorded USD 246.7 million in net income, 20% higher than the USD 205.3 million net income in the same period last year.

Revenue grew by 24% to USD 1.2 billion from USD 970.3 million a year earlier.

According to a report from Onix Capital, a brokerage house in Jakarta, Indo Tambangraya sold 12.4 million tonnes of coal in the first half or 16% higher than its sales volume during the same period in 2011. The average selling price increased by 6% to USD 97.70 per ton.

Onix said in a note to clients that “The company result is in line with expectations as the first-half net income reflects 45.4% of our full-year expectation.”

The report said the increase in net income mostly came as a result of higher production, allowing Indo Tambangraya in which Banpu of Thailand holds a 65%t stake to sell more coal in the first half period.

The company production increased by 14% to 12.5 million tons in the first half. Earlier this year, the company said it was targeting about 27 million tons of production this year up from 25 million tons last year.

Source - Thejakartaglobe

(www.coalguru.com)