(EnergyAsia, June 5 2013, Wednesday) — Australia’s Leighton Holdings said its subsidiary Thiess has suspended work at two Indonesian coal mines since April 26 over a payment dispute with their owner PT Arutmin Indonesia.

The Australian mining contractor said Thiess has stopped operations at the Senakin and Satui mines in southeast Kalimantan which produced about 8.9 million tonnes of thermal coal last year to account for about a third of Arutmin’s total output.

“The suspension of operations evidences Leighton’s stated approach of seeking payment of underclaims and not allowing underclaims to accrue further,” said Leighton. Arutmin is 70% owned by Indonesia’s Bumi Resources and 30% by India’s Tata Steel.

Theiss is continuing to provide mining services for another Bumi-Tata project at the Kaltim Prima coal mine.

Leighton said contract coal mining business in Indonesia accounted for about 5.5% of total group revenue last year.