Indonesian coal miner PT Bumi Resources Tbk is likely to restrict exports to India to 16 million tonnes to 18 million tonnes a year to limit exposure to any one market.

A top company official said that PT Bumi one of the largest miners in Asia, is set to produce 80 to 85 million tonne coal in 2012, up 21 to 29% from 66 million tonnes last year, mainly by deepening existing mines in Indonesia.

Mr Nalinkant Rathod commissioner of Bumi on the sidelines of a seminar in New Delhi said that “The only way to meet our target in a growing market is to increase our production. We plan to go up to 150 million tonne by 2013 between ourselves and our associates.”

According to Mr Rathod, however, the miner, in whose trading companies Tata Power Co. Ltd owns stakes, is not looking to sell more coal to India despite its need for more supplies to bridge a growing deficit.

Mr Rathod said that “We have contracts to supply 15 million tonnes to 16 million tonne of coal this year into India with TATA Power and the Adani group. We have a policy of giving a certain market no more than 20% of our production. So 16 to 18 million tonne is the maximum we would sell to India.”

World Coal Association data shows that Indonesia is the world’s second largest exporter of coal after Australia and sold 162 million tonne of the fuel in 2010.

(Sourced from www.livemint.com)