2013, the government to limit coal export & production

The government plans to issue a regulation to limit coal exports and production amount annually. The government plans to prohibit
exports of coal produces below 5,100kkal/kg (low caloric value) and below 5,700kkal/kg (medium caloric value). The government
also plans to provide a quota for maximum coal production. Approximately 80% of Indonesia's coal production is currently directed
for exports. (Kontan)
Comment: At the moment is it still unclear to see how this regulation will be implemented pending more details and certainty. In the
midst of weak coal price environment, the growth of coal production might not be as high as previous years.

By : Listri Valsa
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