Bloomberg reported that MPX Energia SA, the energy company controlled by Brazilian billionaire Eike Batista is negotiating supply contracts to sell coal from its Colombian unit as it prepares to start production by the end of next year.

Mr Eduardo Karrer CEO in an interview in Rio de Janeiro, where the company is based said that output from its open-pit mine is set to start in the fourth quarter of 2012.

MPX is talking to possible customers in Asia, Europe and the US and expects to announce the contracts in the first half of next year.

Mr Karrer said that "We have expectations of having thermal coal of very good quality, which would guarantee us steady sales of these products in the international market, declining to name the companies involved in the talks.”

Mr Karrer said that “MPX also plans to export its Colombian coal to Brazil and Chile, which would help integrate the Latin American economies. The international market is growing at a rate that can absorb the production increases.”

(Sourced from Bloomberg)