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Monday, 04 May 09
PNOC-EC TO GROW COAL OPERATIONS - PHILIPPINE DAILY INQUIRER


LISTED firm Philippine National Oil Co.-Exploration Corp.  plans to expand its operations this year to ensure the steady supply of coal and further improve sales performance.

In a regulatory filing, PNOC-EC said it will expand its operations in Zamboanga Sibugay under Coal Operating Contract (COC) 41 by taking over the Integrated Little Baguio area, which was formerly being operated by Taiwan Overseas Mining Co.

It added that it will start developing the Lumbog and Malongon areas in the province.

On top of the Zamboanga coal operations, PNOC-EC said it will also actively pursue this year the areas of Surigao, covered by COC 140; Isabela, under COCs 122 (integrated coal minemouth power project) and 141; and Siay Zamboanga, under COC 152.

PNOC-EC currently serves the requirements of the cement manufacturing and power production industries with its own production from COC 41, other local mine sources such as Semirara coal and coal imported from Indonesia.

In 2008, the company sold directly as much as 870,000 metric tons (MT) of coal, and was able to trade 112,536 MT of Indonesian coal to China.

PNOC-EC recently started to serve the requirements of the emerging small-scale user market, which included small companies in the paper, textile and food processing industries.

Despite the emergence of the new market, heavy users in the cement manufacturing industry remain sluggish.

“PNOC-EC as a trader, could not compete with the direct sales of Indonesian coal miners dumping their production into the Philippines,” the company said

Source: http://business.inquirer.net/money/topstories/view/20090502-202659/PNOC-EC-to-grow-coal-operations



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