Coal mine to boost Xekong economic development
Coal mine to boost Xekong economic development
TSBP Xekong Electric Power and Mine Company Limited believes that a seam of coal in Lamam district, Xekong province, may yield an estimated 150 million tonnes, as revealed by a survey.
Laman district Governor, Mr Leklay Sivilay, recently led a delegation to visit the site of the planned coal mine in Tok Ongkeo village.
The company's Deputy Director, Mr Long, reported that the coal survey began in 2013 and ended last year, covering an area of 228 square kilometres.
He said the company has completed a feasibility study and research, and plans to excavate an area of 25,000 metres.
The company expects that the 150 million tonnes of coal that can be mined will provide 5,000 to 6,000 kilocalories of heat energy, which they will sell to a commercial customer.
During the visit, Mr Long handed over 22 million kip for the construction of a school in Tok Ongkeo village, which was received by Mr Leklay.
According to a recent report from the Lao Cement Producers' Association, coal consumption in Laos may increase by up to 700,000 tonnes per year over the next four years and is set to grow even more after that.
The demand for coal is increasing as many new cement factories will be built in the coming years and coal can also be sold to the Hongsa Power Company Limited in Xayaboury province for the production of electricity.
The figure of 700,000 tonnes includes about 600,000 tonnes for use in industrial cement production.
The remaining 100,000 tonnes will be used as fuel for the production of bricks, tapioca, to melt ore and other purposes.
Currently the cement industry imports about 200,000 tonnes of coal from Vietnam and Indonesia each year as domestic supplies are inadequate. The sector imported 100,000 to 150,000 tonnes of coal in 2012 and 2013.
The excavation of more coal in Laos will help to cut coal imports from neighbouring countries.
The Lao government is aiming for coal to be a priority ore for local use, especially for consumption by large-scale industries.
