Auction of ex-Koba Tin concessions needs House approval

By Thomas Sembiring

The government can?t immediately offer to new investors the former tin concessions of PT Koba Tin in Bangka Belitung as it now falls under the status of state reserves area.

Director General of Mineral and Coal Bambang Gatot Ariyono said Friday that the government needs to first get approval of the House of Representatives to be able to offer the concessions to new investors.

PT Koba Tin returned the total 41,344.26-ha concessions to the government after its mining contract expired in September 2013. State-controlled tin giant PT Timah Tbk last year formed a joint venture with companies owned by local administrations in Bangka Belitung to acquire the ex-Koba Tin concessions, but the consortium was later dissolved due to uncertainty whether the concessions would be put to auction by the government.

Editing by Reiner Simanjuntak