Govt allows mining firms under exploration stage to list shares in stock market
Thursday, January 18 2001 - 04:00 AM WIB
The country's capital market supervisory agency or Bapepam has issued a new ruling allowing mining companies still in the exploration stage to list their shares on the Surabaya Stock Exchange.
The Surabaya Stock Exchange president Anton Natakoesoemah said that the new ruling was issued on December 22, 2000.
Anton said that there were certain requirement that must be fulfilled by the mining companies. "The (listing) candidates must have at least either one mining contract (KK), coal mining contract (PKP2B), mining license (KP) or mining license from regional administration (SIPD),"Anton said.
He said that for companies which only hold SIPD, they must already located proven reserves with a mine life of at least seven years.
The new ruling is expected to help mining companies to secure funds to finance their mining operation. Reports have said that many mining companies had been in trouble because of funding difficulties. (R. Amoros)