TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

Jonan tells Freeport to release 51 percent of shares

News Desk (The Jakarta Post)
Jakarta
Mon, January 16, 2017

Share This Article

Change Size

Jonan tells Freeport to release 51 percent of shares Energy and Mineral Resources Minister Ignasius Jonan (left) and Deputy Energy and Mineral Resources Minister Arcandra Tahar talk to journalists after their inauguration at the State Palace on Oct. 14. (Antara/Yudhi Mahatma)

E

nergy and Mineral Resources Minister Ignasius Jonan has stressed that the government will require mining giant PT Freeport Indonesia to release 51 percent of its shares, stressing that there is no exception in abiding by the new mining regulation.

“There is no exception to the divestment. It must be 51 percent of its shares,” said Jonan on Monday, as reported by tempo.co.

The requirement for mining companies to divest 51 percent of their shares is stipulated in Government Regulation No. 1/2017 on the mineral and coal mining business. Initially, Freeport was only required to sell 30 percent of its shares, because the company has underground mining operations.

(Read also: Indonesia pledges leeway for obedient miners)

Jonan made the statement at his office in Jakarta on Friday, where he had a meeting with Freeport McMoran Copper & Gold Inc. president Richard C. Adkerson and Freeport Indonesia president director Chappy Hakim.

Jonan also said that Freeport had submitted an official letter confirming its commitment to convert its contract of work (CoW) to a special mining production (IUPK) license, as required by the new regulation.

“They also mentioned their commitment to building a smelter within five years. If so, we will issue the export recommendation for them immediately,” the minister added. (bbn)

{

Your Opinion Matters

Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.

Enter at least 30 characters
0 / 30

Thank You

Thank you for sharing your thoughts. We appreciate your feedback.