FLSmidth will supply material handling equipment to PT Adaro Energy subsidiary Adaro Indonesia coal mine in the Tanjung district of South Kalimantan, Jakarta, Indonesia for Kr700m ($135m).

The equipment, which is part of Adaro’s mining operations expansion, will decrease the average hauling distance of the overburden trucking operations and reduce the company’s dependency on oil.

The equipment includes an out-of-pit overburden crushing and conveying system consisting of FLSmidth ABON sizers, RAHCO overland conveyors, and RAHCO mobile stacking conveyors.

FLSmidth will supply the contractual elements regarding construction, supervision and management, and field service.

Adaro Energy president and director Garibaldi Boy Thohir said overburden mining and haulage was one of their biggest challenges.

“The equipment, supplied by FLSmidth, will increase the efficiency with which this large amount of overburden is transported and help secure Adaro’s unbroken track record of continuous growth,” he said.