Indonesia-Japan Coal Seminar 2020- Overview and Activities of JOGMEC -

23rd January, 2020

IKEDA HajimeExecutive Vice President, JOGMEC

Japan Oil, Gas and Metals National Corporation

Coal Imports for Japan（2018）

Source:Trade Statistics , MOF

Australia116,068

Indonesia28,868

Russia18,737

Canada8,703

USA11,533China

1,813

Colombia1,823

South Africa135

Mozambique624

Vietnam732

Japan189,320

unit：Thousand tons

other：284

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・Main Partners of Coal Imports for Japan are Australia, Indonesia, and Russia.

Coal Imports of Japan by Type

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・Japan imports coal around 190million tons a year・Most of the coal imported for Japan is thermal coal and coking coal・Coal imported from Indonesia is mainly thermal coal

192

162

185 175

185 192 188 191 190 193 189

0

20

40

60

80

100

120

140

160

180

200

million t

on

Anthracite Coking Coal Thermal Coal (Bituminous) Thermal Coal (Sub-bituminous)

Source:Trade Statistics , MOF

Head Office（Tokyo） Metals Technology Center（Akita）

Japan Oil, Gas and Metals National Corporation

１．Corporate Profile

1．Date of Establishment： February 29, 20042．Equity Capital ： 938 Billion Yen（May, 2019）3．Number of Employees： Officers 10／Employees 615（July, 2019）4．Head Office ： Tokyo

Technology & Research Center（Chiba）4

Overview

JOGMEC’s Mission・・・Ensuring a constant and stable supply to Japan, which depends mostly on importing resources, through the support of resource development by Japanese companies and stockpiling as the last stronghold of Japan’s energy security.

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Beijing Office（China）

Sydney Office（Australia）

Washington Office（U.S.A）

Houston Office（U.S.A）

Vancouver Office（Canada）

Mexico Office（Mexico）

Lima Office（Peru）

Santiago Office（Chile）

Moscow Office（Russia）

London Office（U.K.）

Middle East Office（U.A.E）

Botswana Geologic Remote Sensing Centre（Botswana）

JOGMEC Overseas Offices

Johannesburg Office（SOUTH AFRICA）

１．Corporate Profile

Jakarta Office（Indonesia）

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Geothermal Metals Coal Oil and Gas

Financial support for Japanese companiesGeological and geophysical Surveys

Technological developmentTechnological assistance

Collection and provision of informationMine Pollution Control

Petroleum and Liquefied Petroleum Gas StockpilingMetals Stockpiling etc.

２．JOGMEC Activities

３．Process of Coal Mining & JOGMEC’s Supports

Exploration Development Production

・Geological potential evaluation・Geological survey・Geological survey Drilling

・Production

Risk

・Drilling Tunneling・Feasibility study

・Producing plant construction

Survey

JOGMEC’s Supports Scheme

Geological Survey

①Geological survey with a governmental agency of coal-producing country ②Joint Venture with foreign companies

Equity Capital

JOGMEC provides equity capital for maximum 50% of the required fund for exploration.

Liability Guarantee

JOGMEC provides maximum 80% of liability guarantee for loans, which Japanese companies borrow from private sectors for developing mines and establishing infrastructures.

Information / Training

①Training coal mining technology to engineers of coal producing countries②Collecting and providing information7

Geological survey Drilling Tunneling Mining Shipment

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４．Support Schemes for Coal Exploration

Geological Survey

JV Exploration

Foreign Company

Transfer of Interests/

Marketing Right/ Offtake Right

JV Agreement

JOGMEC

＜Conventional JV＞ ＜Nikkei JV＞

JV Exploration

Japanese Company

JV Agreement

JOGMEC

Joint Coal Survey

Coal Producing Country

Benefit for Japanese Company

MOU

JOGMEC

Joint Coal Survey Joint Venture

Transfer of Interests/

Offtake Right

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No. Project Name Location Survey year Producing

Start year

① Marunda Graha

Mineral coal

mine(MGM)

Central

Kalimantan(Barito)

1999 2003

② Jembayan coal mine East Kalimantan(Kutai) 2003 2005

③ Kayan Putra Utama

coal mine(KPU)

North

Kalimantan(Tarakan)

2010-2011 2012

④ GDM East Kalimantan(Kutai) 2010-2012,

2015-2016

Soon

４-1．Coal Mining Projects contributed by Japan

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①

④

②③

★★

JOGMEC coal exploration projects in Kalimantan, Indonesia.

<Joint Venture> BOSS/PB Project (2015-ongoing)

<Financial support> GDM Project (2015-2016)

４-2．JOGMEC’s activity for Coal Exploration in Indonesia

BOSS/PBGDM

JV Exploration

PT. ITOCHU Indonesia

JV Agreement

＜Conventional JV＞

BOSS/PB JV Structure

PT.BOSS/PBJOGMEC

Transfer of

Coal Marketing Right

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https://www.youtube.com/channel/UC02IZcOqYQK5g4NeCcMl4MQ

BOSS COAL Channel - Youtube

4-3．JOGMEC’s activity for Coal Exploration in Indonesia

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GDM Project (technical and financial support)

4-4．JOGMEC’s activity for Coal Exploration in Indonesia

Interest: Gerbang Daya Mandiri(79.9%), MMI Indonesia Investments(20.1%)Support period: 2015JFY-2016JFYCondition: Preparation for trial underground mining by large-scale

mechanized Longwall method (the first in Indonesia)

GDM mine

Longwall Systems(Photo: courtesy of Komatsu Ltd.) GDM mine

Transfer Japanese underground coal mining technology, safety, security administration to mine sectors in coal producing countries.

Trainee Acceptance Program：Accepting trainees from Indonesia and conducting trainings in Japan.

Experts Dispatch Program：Dispatching Japanese experts to Indonesia and conducting training in Indonesia.

[Out line of the project]

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5-1．Support Project for Coal Development The Training Project on Coal Mining and Safety Technology

Indonesia

JOGMEC

Agency for Natural Resources and Energy,

METI

[Implementation Structure(FY2019)]

Commission

Subsidy

Training

MOU

MMR(Experts Dispatch

Program) GDM AICJ

HRDCGMC

KCM(Training Acceptance

Program)

Universities which have

departments on mining

ESDM(Mine Inspectors)

Lecture on ventilation network analysis system

Number of trainees

Fiscal Year 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Total

Indonesia 63 58 60 80 64 40 39 34 - - - - - 10 12 20 19 499

NEDO（*） JOGMEC

・499 trainees from Indonesia were trained in Japan since this project has started in FY2002.

Opening Ceremony

19th November 2019

(JOGMEC, Tokyo）

(①Trainee Acceptance program)

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* New Energy and Industrial Technology Development Organization

5-2．JOGMEC’s activity for The Training Project on Coal Mining and Safety Technology in Indonesia

Fiscal Year 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Total

Total number of

instructors (man-times)50 71 72 84 98 162 165 183 232 194 49 80 124 94 101 101 78 1,938

Total number of

trainees (man-times)249 287 1,186 942 1,011 1,587 1,460 1,601 1,743 1,872 1,369 1,518 2,251 2,121 2,965 3,017 2,977 28,156

Number of trainees at

GDM (man-times)468 498 584 783 757 692 877 933 5,592

NEDO（*） JOGMEC

Number of instructors and trainees

・Total 28,156 trainees were attended to practical trainings and lectures since this project has started in FY2002.

(②Experts dispatch program)

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* New Energy and Industrial Technology Development Organization

Practical training for underground ripping face support

Practical training for maintenanceof belt conveyer

5-3．JOGMEC’s activity for The Training Project on Coal Mining and Safety Technology in Indonesia

Practical training for underground excavations

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(②Experts dispatch program)

Bandung Islamic Univ.2013 802014 3662015 1542016 1122017 802018 100Total 672

Palangka Raya Univ.2018 802019 80Total 160

Institute of Technology Padang

2013 822014 922015 742016 802017 822018 842019 84Total 578

Syiah Kuala Univ.2018 802019 76Total 156

National Institute of Technology Yogyakarta2017 802018 66Total 146

Jambi Univ.2018 80

Trisakti Univ.2016 802017 802018 94Total 254

Lambung Mangkurat Univ.2016 742017 802018 702019 72Total 296

UPN Veteran Yogyakarta2016 902017 802018 90Total 260

Mulawarman Univ.2012 2672014 722015 222016 76Total 437

AKAMIGAS Polytechnic Palembang2012 2762013 1112014 1852015 1422016 1102017 922018 1042019 172

Total 1,192

7 coal mines in East Kalimantan2012 50

SKB Coal Mine2012 7

Padang Univ.2014 2532015 982016 1162017 120Total 426

Sriwijaya Univ.2013 662014 462015 582016 642017 66Total 300

Adhi Tama Institute of Technology2013 1182014 1292015 802016 98Total 425

Bangka Belitung Univ.2013 922014 602015 742016 802017 82Total 399

Sawahlunto community college2016 1302017 78Total 218

Polytechnic of Geology and Mining2017 84

Underground Mine Training Center2012 142015 32Total 46

（Fiscal Year, Number of trainees）

Muara Bungo Univ.2014 982015 86Total 184

Lecture statusLecture on economic evaluation of mines

Opening ceremony

・JOGMEC supports solution projects for technical issues at the mine operations sites

６．Technical support to meet the needs of the operation sites and planned projects

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e.g. Brown coal blend design *Focusing on blending

technology with bituminous coal

and lignite

*Improves the calorific value and

natural heat generation.

*Produce coal with distance

transport and excellent storage

stabilityField test & evaluation

Blending Making a pile Collecting data

thermometerData recorder

1. Survey period: October 2015-February 2016

2. The Seminar in Jakarta on Feb. 2016Agenda:1) Laws and regulations in Indonesia2) Current implement status on the ground by coal production

companies in Indonesia3) Problems and the future prospects in Indonesia

７．Activities of coal resource development

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Survey on Environmental protection, forest conservation, land reclamation and forest rehabilitation in coal mining in Indonesia

Terima KasihThank you

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