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Jakarta Post

Indonesia to auction 16 mining sites

  • News Desk

    The Jakarta Post

Jakarta   /   Wed, July 18, 2018   /   02:03 pm
Indonesia to auction 16 mining sites Miners work at a tin mine in Bangka Belitung. (Tribunnews.com/File)

Indonesia will soon auction 16 mining sites as no proposal submissions have been submitted by state-owned enterprises (BUMN) and regional administration-owned enterprises (BUMD) as of the submission deadline on Tuesday.

Under Energy and Mineral Resources Ministerial Regulation No 11/2011 on the proposal submission procedures for the operation of coal and mineral resource sites, BUMNs and BUMDs are given priority to submit proposals.

But after a 30 day period, private companies are given the opportunity to submit their proposals to take part in the action process.

“I heard that no BUMNs had submitted proposals as of this evening,” said ESDM mineral business supervision director Bambang Susigit in Jakarta on Tuesday as reported by kontan.co.id.

The 16 mining sites include 10 fields that require a mining operation permit (IUP) to manage and six fields that require a special mining operation permit (IUPK).

The government offered the 10 IUP mining fields to regional governments and the six IUPK mining fields to state-owned enterprises.

Separately, state-owned diversified mining company PT Aneka Tambang president director Arie Prabowo Ariotejo said his company wanted to submit its proposal on Tuesday. He did not say which mining fields the company was interested in.

Meanwhile, coal miner PT Bukit Asam also expressed its interest in taking part in the auction process, but the company's president director Arviyan Arifin did provide details about the company’s interest in the mining fields offered by the government. (bbn)