C. Sulawesi seeks to acquire Vale?s ex-concession

Central Sulawesi Governor Longki Djanggola said that his administration is in the process of setting up a new company that would seek to acquire the former nickel concessions of IDX-listed nickel giant PT Vale Indonesia Tbk.

Longki was quoted by Kontan as saying Thursday that the provincial administration-owned company will participate in a tender to be held by the central government.

PT Vale returned to the central government a total of 72,074.66 hectares of concessions in Sulawesi as part of mining contract agreement signed with the government last year. The government plans to offer to new investors some 30,309.48 ha of the total concessions via tender, while the remainder to be declared as state reserves.

Longki said that the administration was seeking to acquire about 11,000-ha of the concessions. He declined to provide details.

Director for Mineral Management and Development at the Ministry of Energy and Mineral Resources, Mohammad Hidayat, however, could not yet disclose the tender schedule for the ex-Vale concessions. He said that the office is still making coordination with the Geology Resources Center (PSDG) to determine the mineral potential data at the ex-Vale concessions. (*)