Having Abundant Resources, KESDM Starts Searching For Potential Metalurgi Coal

Coal illustration (Photo: Antara)

JAKARTA - Plt. Head of the Geological Agency of the Ministry of Energy and Mineral Resources (ESDM) Muhammad Wafid revealed that his ministry is exploring the potential for metalurgical coal.

Wafid said this was intended to increase the added value of coal higher.

"Indonesia's current source of power and coal reserves is still quite large with a total resource of 98.5 billion tons and reserves of 33.8 billion tons," Wafid said in a statement to the media, Friday, December 15.

Wafid said that currently the Center for Mineral, Coal and Geothermal Resources (PSDMBP) of the Geological Agency is digging and providing coal potential data in Indonesia.

Moreover, he said, previously Indonesia's coal was sold as thermal coal.

"In fact, certain types of coal have characteristics as metalurgy coal which is useful in the steel industry and mineral processing smelters, so the selling price is much higher than thermal coal," he explained.

He further added that there are erroneous assumptions that argue that the coal industry will experience'sunset', along with the growth of EBT as a focus on energy utilization.

"In fact, to achieve NZE and downstream the world's minerals, coal is still very much needed," added Wafid.

This is in line with what was previously disclosed by the Secretary-General of the Ministry of Energy and Mineral Resources (ESDM) Dadan Kusdiana revealed that Indonesia is one of the countries with large coal-fired power plants.

So that with the determination of the NZE target, it does not necessarily eliminate coal as one of the main national power plants in the near future.

At least, he said, it will take until 2057 according to the roadmap to NZE initiated by the Ministry of Energy and Mineral Resources, while in parallel, the government strengthens the basis for using EBT to support national energy. Because the government is also obliged to ensure the availability of energy to the community.

To supply energy needs to the community when the use of coal begins to slow down, Dadan said that the government will develop and provide cleaner energy from EBT.

Therefore, coal that is not used for raw materials for power plants can be used in processed and greener form through the downstream process.

"We have to lead to a green product, we have to create a green industry here, because it will be seen in terms of the process how to produce this product," he said.

Dadan explained that coal products can be converted into Dimethyl Ether (DME) through a gasification process, which will be used as a substitute for Liquefied petroleum gas (LPG), with existing consumers.

"Before becoming a DME, it could also become methanol. This methanol is widely used in industries, we can use methanol, but on condition that later the process must be clean, there is no emission, become a green product," he added.