Hass Coal Indonesia

On the behalf of Joint Venture of PT. Hass Coal and Pt. Borneo Ozbey Mining I would like to make an introduction about companies backgrounds. To start with Pt. Borneo Ozbey Mining is a member of Ozbey Group which is already 56 years working in the industry of underground coal mining in Turkey. While PT. Hass Coal itself is present in trading of coal in Indonesia for about 3 years.In our concession we are working with professional mining engineers from Turkey and Indonesia, who are supported by the team of qualified operators and supervisors from Indonesia and trusted branded heavy equipment from CAT, Komatsu, and Ingersoll-Rand. Moreover, our concession consists of 3 blocks while at this moment we are producing coal only in the first block.Joint venture of Pt. Hass Coal and Pt. Ozbey Borneo Mining is working on production of coal in concession PT. Hass coal in Benao, Middle Kalimantan, Indonesia since the beginning of 2009 February and so far 20,000 metric ton of steam coal with 6000+ CGV are produced and placed in our Jetty stockpile in Lahe ready for shipment. It is important to mention that we are able to produce around 15,000 metric tons per month from now on as our geological studies in the mining area are almost accomplished and the first stage of the mining plan is completed. According to our engineer calculations based on drillings data, our first block has around 3 million metric tons of producible coal (our feasibility ratio is 1/8-1/9) while total approximate reserve of coal in all three blocks would sum up to 15 million metric tons. Actually our joint venture is trying to become dominant in the area by purchasing couple of other neighboring concessions which in near future will give us opportunity to increase our monthly production figures. At the present time our production reaches 10,000 metric tones per month.

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