East Kutai not yet sold its shares to Bumi Resources: Regent
Friday, January 9 2004 - 03:14 AM WIB
Mahyudin said it was just only a plan to sell 13.6 percent stake from its 18.6 percent ownership in KPC to either Bumi Resources or a third party.
He said this will be done only if his administration failed to get funds amounting US$104 million for the purchase 18.6 stake in KPC.
But this is entirely opposite to what he told Kompas on Wednesday.
Mahyudin told Kompas on Wednesday in Samarinda that he had already sold back 13.6 percent shares of KPC to one of the companies belonging to PT Bumi Resources and said his administration still has 5 percent shares of KPC.
Mahyudin said East Kutai has gained from the sale because it bought 18.6 percent KP shares for US$104 million and sold back 13.6 percent shares for the same amount and still has 5 percent shares in its hands.
Meanwhile, Investor Indonesia newspaper reported in its Friday edition that Minister of Energy and Mineral Resources Purnomo Yusgiantoro was surprised when he read the news about East Kutai?s sale of 13.6 percent stake in KPC to Bumi Resources.
? I have not received any report and I came to know about this only after reading newspaper this morning (Thursday), ? Purnomo said.
Central government will summon East Kutai regent to give official explanation about the sale.
Director-General of geology and Mineral resources Simon Sembiring said East Kutairegent should have reported that matter to the central government.
?He (regent) should have asked for permission from the central government to sell his administration?s stake in KPC. I don?t want to talk about whether it is ethical or not. I don?t any thing and we will examine it further,? he said.
But Mahyudin said there is no need to take permission from the central government to sell his regency?s stake in KPC.
In a separate development, Bumi Resources president director Ari S Hudaya, who is on a vacation outside the country, told Investor Indonesia that he is not aware of the KPC deal.
?I am presently on a vacation. Therefore, I am not following the developments in the domestic arena. Even, I have not received any kind of report,? Ari said.
Under the government?s divestment program, the central government got 20 percent from the 51 percent of KPC shares and the remaining 31 percent was allotted to the province with a composition of 60 percent for East Kutai regency, where KPC is located and 40 percent to East Kalimantan provincial administration.
After the calculation of entire KPC ownership composition, East Kutai has got 18.6 percent stake and the province 12.4 percent.
Mahyudin mentioned the main reason for selling 13.6 percent shares to Bumi Resources group, the new owner of KPC, was lack of funds because his regency has failed to gather $104 million for the purchase of 18.6 percent stake.
Meanwhile, East Kutai received $1.5 million as dividend for its 5 percent stake in KPC.
?The total amount (dividend) is $1.5 million for three months starting from October(2003).? Mahyu din said.(*)