Bumi drops its merger plan with EMP
Wednesday, November 8 2006 - 01:38 AM WIB
Management of publicly listed PT Bumi Resources (Bumi) has finally dropped its plan to merge with publicly listed PT Energi Mega Persada (EMP) following the latter?s failed program to spin off Lapindo Brantas Inc. due to the absence of permit from the Investment Supervisory Agency (Bapepam), Bisnis Indonesia reported Wednesday.
?The planned merger with EMP has definitely been dropped because as of now, many problems involving EMP have not yet been completely solved,? said Bumi Resources? owner Nirwan Bakrie in Jakarta on Tuesday.
On Sept 2006, EMP said it would divest its stake in Kalila Energy Limited and Pan Asia Enterprise Limited, which together own 99.99 percent of Lapindo to Lyte Limited, a subsidiary of Bakrie Group Company.
Lapindo is the operator and 50 percent interest holder of Brantas PSC in East Java, which exploration well Banjar Panji-1 flowed hot mud that has inundated several villages in the crowded Sidoarjo Regency. (*)