Indonesia's Coal Production to Reach 50 Million Tons by 2024, an Industrial Info Market Brief

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Indonesia's state-owned mining company PT Bukit Asam Tbk expects to double coal production to 50 million tons over the next five years, as the nation's coal demand is expected to remain heavy.

Total demand for Indonesia's coal stands at 13 million tons per year. If production and demand continue at theirs current rates, the nation will not be able to meet the growing needs, both domestically and internationally.

The coal produced by PT Bukit Asam will be used for power generation and export hubs, as well as various derivative-product facilities planned and under construction. Factories for derivative products such as synthetic gas, methanol and dimethyl ether can absorb coal in large quantities.

The government plans to boost the sector's economic efficiency by building "mine mouth" coal-fired plants, which are power-generation facilities built near coal mines. Industrial Info is tracking eight such projects across Indonesia, worth a total $7.35 billion. Click here for a list, and see map below.