Building Up A Distinguished Mining Service

National Mining Service industry have been through a great challenge in the past three years. The
climbdown of mining prices trend, especially coal, that is keep happening since 2012 until now, have
made many of mining service company could not survived. Ones who survived and exist in mining
service industry are only those who have creativity, inovation, and effeciency.

The coal “Booming” that made coal company and mining service industry feel like a strike oil has
passed. It is now the time to become more creative to develop a mining service industry. Mining
contractor is required to improve the high efficiency as well as to optimize the production capacity
and the human resources. Likewise mining support service industry has to be capable to increase the
high efficiency and to optimize production capacity and the human resource. Likewise support
service mining industry have to be able to do a various inovation.

Nowaday, mining contractor service keep concentrating in coal mining. There are only a small
number who enter the mineral sector. It is becaused of the different product characteristic, among
others are the product security and the handling ability along with a special expertise. Processing ore
for the gold mining needs a special expertise so that the mining owner is doing the mining process
by his own, still.

Currently, as much as 330 million ton from 400 million ton coal production in a year is allocated for
the export market, and the rest is absorbed by the domestic market. The condition causes each
changes in the international market demand and the price fluctuation will give a great impact to the
Indonesian coal industry.

Indonesian government actually already have the road map energy mix, that national energy
consumption is driven to be 20% crude oil, 20% natural gas, 30% coal and 17% renewable energy. It
surely can boost up the bigger use of the coal in Indonesia so that it can increase the uptake of
domestic market.

The government plan to build a 35.000 MW capacity power plant will boost up the uptake of
national coal domestic market. The development of the power plant is hoped that can absorb the
coal production as much as 175 million ton per year.

In order to increase the uptake coal production in the domestic market, it is done with the direction
by the government in order to use coal as the diversification of energy resource so that the natioanal
absorption will increase. Various utilizations of coal as an energy resource are not to be worried by
clean energy issues, it is because of Indonesian coal has meet the minimum standar of clean energy
with the low level of sulfur and ash composition.

Besides, the government has another positive policy that is to limit the coal production for the next
five years which is targeted approximately 400 million – 450 million ton per year. Those various
actions are expected can equalize production and domestic absorption so that can raise up the coal’s
price to a better level.

Indonesian Mining Service Association (ASPINDO) keep trying to increase the capacity and
competency to the performer and mining service company. It develops sinergy and colaboration
between the mining service company, besides it continues upgrade the standarization to implement
Good Mining Practice (GMP) and advanced mining.

In order to actualize those ideas, ASPINDO cooperates with a number of mining association, builds
up Certification Institution ASPINDO that will standarize mining service company and mining
company so that they will have a capacity, competency, reputation in GMP application so that can
compete in mining industry and foreign mining service.

The enactment of free trade area regulation between countries incorporated in ASEAN Economic
Community(Masyarakat Ekonomi ASEAN / MEA) require mining service companies to be excellent
ones, not only in Indonesia, but also in ASEAN and international coverage. In reality, the capability of
national mining service company is equal to the foreign mining service company with international
reputation.

Mining service company commit to be apart of Indonesian development to create a fair, prosperous,
and wealthy society.

Thank you.
-Aristya Oktriza-
To : Mr. Aden Budi