PT Bayan Resources Tbk said it will produce up to 20 million metric tons (mt) of coal this year, a 29% increase from last year’s production volume of 15.5 million mt. “We are projecting coal production at 18 million mt to 20 million mt this year,” said Bayan director Jenny Quantero. The average selling price stood at $95/mt in 2011 and the firm has projected a similar price for this year.

Most of Bayan’s coal sales were under contract. She declined to reveal the number of contracts her company had secured this year, but said the increase in production would be supported by Bayan’s existing mining areas in South and East Kalimantan. “Our new mining areas will contribute, yet remain small in amount,” Quantero said.

Last year, Bayan acquired nine mining concessions in East Kalimantan.

The company estimates it has mineable coal reserves reaching 980 million mt.