LG International Corp., a South Korean resources trading company, will start pilot production of coal in GAM bituminous coal mine located in Kalimantan, easternIndonesia, the company announced on Thursday.

The large open–pit GAM bituminous coal mine that the company developed over the last four years covers an area of 106 kilometers, 36 times the size of Yeouido inSeoul. It is estimated to have minable reserves of 220 million tons.

The company will conduct test production until the end of this year, and begin commercial production January next year with an aim of producing three million tonsper annum. It plans to gradually increase the maximum capacity to 14 million tons a year.

LG International has an exclusive marketing right on the production. It plans to supply the coal produced in the mine to major countries in Asia including China andIndia.

Based on the experience to successfully develop the MPP coal mine in 2007, the company acquired a 60 percent stake in the GAM mine and operational right in 2012.

“We will expand the volume of Indonesian coal production by 2020 and help emerging countries in Asia to meet their rising energy demand,” said the company.

LG International shares closed Thursday at 35,900 won, up 800 won or 2.28 percent from the previous session.