UPDATE 1-Indonesia's Bumi plans $239 mln share buyback

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JAKARTA, May 13 (Reuters) - Indonesia's largest coal miner, PT Bumi Resources Tbk BUMI.JK, said on Tuesday it plans to buy back up to $238.97 million in shares, representing up to 1 percent of its share capital.

Bumi, 17 percent owned by PT Bakrie & Brothers Tbk BNBR.JK, said in an advertisement carried in a newspaper it would purchase the shares at a maximum of 11,600 rupiah ($1.26) each, a 58 percent premium on the firm's closing share price on Monday of 7,350 rupiah, over the next year.

It said it would seek shareholder approval for the buyback at a meeting scheduled for June 12.

Bumi's share price had lost around 10 percent of its value since it hit a record high of 8,150 rupiah a share on February 25. Analysts polled by Reuters Estimates set an average target price of 8,000 rupiah for the share.

Bumi had said it aims to sell 62 million tonnes of coals this year, up from 55.43 million in 2007.

Indonesia is the world's largest thermal coal exporter and miners in the country have been performing well due to high coal prices, strong demand from China and India, and supply constraints in Australia. ($1=9,239 Rupiah) (Reporting by Harry Suhartono, editing by Ed Davies)