Titan Mining and Energy Corp., a wholly-owned unit of Coal Asia Holdings Inc., has completed another 1,000 metric tons of coal shipment to Sarangani Energy Corp. in Maasim, Sarangani province.
Coal Asia said in a disclosure to the Philippine Stock Exchange the company and Titan “are prepared to assist their clients to cushion the impact of the shortfall in coal import by making available its equivalent local resources.”
Indonesia recently banned flagged coal vessels sailing to Philippine waters after the kidnapping of its nationals in Mindanao.
Titan, which started operations in 2008, acquired 40,000 hectares across eight provinces within a short period of 10-months—more than any other mining company in the past few years.
The Energy Department earlier awarded Titan Mining five coal exploration contracts covering 11,000 hectares in Zamboanga Sibugay (Siay, Payao, Diplahan and Buug) and 7,000 hectares in Davao Oriental (Manay).
Joseph Nocos, vice president for business development Alsons Consolidated Resources Inc., meanwhile, said the shipment from Coal Asia was not related to the Indonesian ban. Alsons owns a 210-megawatt coal plant project in Maasim, Sarangani.
Indonesia wants the Philippines to address the security threats in Philippine waters before lifting the ban.
“The Indonesian ban on coal shipment applies to vessels carrying the Indonesian flag. Our coal is delivered by vessels not flying Indonesian flag and are thus not covered by the prohibition. W have not experienced any interruption in our coal supply,” Nocos said.
Isidro Consunji, chairman of Semirara Mining Corp., the country’s biggest coal mining firm, said Philippines power plants were not affected by the ban.
“I don’t think power plants are affected. They are using large vessels that are not affected by pirates. Only cement plants using barges are affected,” he said.
Consunji earlier said Semirara Mining and Power Corp., the country’s biggest coal mining company, can also supply the fuel to power plants.
“We can always shift exportable coal to local. Some power plants cannot use Semirara coal or at reduced capacity. Currently, we can channel all production of one million tons a month locally,” Consunji said.
Newly-installed Energy Secretary Alfonso Cusi said the Philippines had more than 30 days of coal supply.
“It’s a security concern. …We have 30 days. We have more than that. We are okay as far as coal is concerned,” Cusi said.
