Business Process

The Company uses water transportation through rivers and sea as a method of shipping and transporting coal. The Company uses specially designed ships and travel routes that have been arranged by the sea transportation agency to ensure safe voyage when sailing. The following is the coal delivery process carried out by the Company and Subsidiaries:

A. Loading coal onto river barges
From the loading jetty owned by one of our main customers, namely PT. Guruh Putra Bersama, coal will be loaded onto the Company’s river barge in Sungai Belayan using a conveyor. The length of the river barge that can dock on the loading jetty is a maximum of 180 feet. The amount of coal cargo will be as per loading standards with an average capacity of 1,850 tons per barge, however lower load quantity may take place in shallow water conditions. This activity takes about 3 hours per barge.
B. Transport of coal by river barge and coal loading unloading at Intermediate Transshipment Point (ISP)
Furthermore, river barges loaded with coal will be pulled by tugboats through the Belayan River to the ISP on the Mahakam River. The ISP holds a special license to handle coal for its affiliates.. Coal that has been loaded onto river barges will be unloaded at the ISP. This activity can take about 4 hours per barge. ISPs generally act as mid point wherein the coal can be transferred from river barge directly to ocean barges, or to the stockpile.
C. The process of loading coal onto ocean barges
At the ISP, the coal is then loaded onto a 300-foot-long ocean barges to be transported to the destination port. Transportation is carried out using ocean barges with an average capacity of about 7,500 tons per barge.
D. Transshipment to End-user
  1. Transport from ocean barge to Floating Transfer Unit (FTU) and then to the mother vessel
    For shipments to a mother vessel, the coal is transported by ocean barge to the mother vessels (MV)in anchorage points at high seas at Muara Berau or Muara Java. Further, the Company transfers coal cargo from ocean barges to mother vessel using FTU which can take around 3-4 days to load depending on type of MV (at the rate of 20,000 tons per day). For transferring the coal, FTU is alongside at the right-hand side of mother vessel and sea barges alongside at the right-hand side of FTU. Mother vessel is a type of ship that carries bulk cargo. through ocean route.
  2. Transport from ocean barge to domestic jetty end user.
    Coal shipments for domestic customers of PT. Ade Putra Tanrajeng and PT. Guruh Putra Bersama, the coal is directly transported from the ISP to the end user’s jetty using sea barges..