South Koreas Daewoo scraps Indonesia coal projectadmin
Daewoo International Corp. said on Wednesday it dropped a plan to join a soft coal project in Indonesia.
The South Korea-based trading company said in a filing to regulators that a study of the Indonesian soft coal resource in Kalimantan showed the project was uneconomic.
In 2004, the former trading arm of the failed Daewoo Group, and South Korea’s state-run Korea Resources Corp. signed an agreement with Indonesia’s PT Gunung Bayan to develop the coal.
Shares of Daewoo International fell 3.1 percent to 34,700 won by 0430 GMT, while the broader KOSPI index was off 0.7 percent.