EXCLUSIVE: Investors allowed to develop open-pit mines in protected forests

Tuesday, December 5 2000 - 09:00 AM WIB

The government has decided to allow investors, who received contracts prior to the issuance of the Forestry Law No. 44/1999, to develop open-pit mines in protected forests, Junior Minister for Forestry Nurmahmudi said on Tuesday.

Nurmahmudi told Petromindo.Com the Forestry Law, which bans open-pit mining operations in protected forest areas, was only applicable to investors who received contracts after the issuance of the law.

"Those who received contracts prior to the issuance of the law is exempted from the law," Nurmahmudi said prior to a meeting Minister of Energy and Mineral Resources Purnomo Yusgiantoro.

Many mining investors have suspended exploration activities following the issuance of the Forestry Law as they were unsure about the possibility to mine mineral resources they are likely to find in protected forestry areas. (Godang/Alex)

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