China Mining promises $50 million investment for Ombilin coal project
Friday, August 27 2004 - 02:27 AM WIB
Chinese company China Mining Corporation has promised to allocate investment funds amounting to about US$50 million for the development of the Ombilin coal mine in West Sumatra, Bisnis Indonesia reported on Friday.
"During a recent meeting, they promised to provide US$50 million. We are still waiting for the written proposal," the president of state-owned coal miner PT Tambang Batubara Bukit Asam (PTBA) Ismeth Harmaini told at a hearing with the Commission VIII of the House of Representatives (DPR) on Thursday.
Ismeth said that the Chinese company had proposed to establish a joint venture with PTBA as the owner of the Ombilin coal mine to develop the coal mine.
He said that China Mining Company proposed to develop the Ombilin mine after the other Chinese company China National Technology Import Export Corporation (CNTIEC) withdrew from the project.
PTBA's technical director said that China Mining had required to become majority shareholder in the proposed joint venture. "We don't have any problem with the proposal as long as the company is willing to operate as full contractor," he said. (*)