Kangaroo-Bayan Resources Commences Mamahak Coking Coal Project - The Indonesia Today

Kangaroo Resources Ltd said the coal operation and sales have commenced from Mamahak Coking Coal Project with PT Bayan Resources (BYAN) Tbk.
The company reported steady coal production in site, as well as an upgrade to haul roads to allow year-round use of haul trucks to transport coal to the port stockpile, and upgrades to the coal loading infrastructure at Mamahak. They also said Bayan to mobilize additional barges to ship the coal to its coal handling facilities.

Kangaroo expects to have steady cashflow throughout the year from Mamahak, including the dry season. Bayan expects to able to load the coal directly from the Mamahak jetty, demonstrating the immediate impact of the off-take contract and benefits of the strategic alliance and associated transaction.

Both companies are immediately commencing an exploration programme to target an expansion of the existing JORC-compliant resource estimate at Mamahak.
The current JORC comes from less than 10% of the overall concession area and the company spoke its confidence that this can be elevated over the next year. The exploration programme has a view to lift production towards 1 million tons per annum.
Kangaroo is currently targeting 500,000 tons per annum from Mamahak as an initial production objective which would earn up to US$50 million in annual revenue at current price.