Govt revokes five coal mining licenses
Tuesday, April 18 2000 - 02:30 AM WIB
The director general of general mining Surna Tjahja Djajadiningrat said on Monday that he had canceled the mining contract of five cooperatives in South Kalimantan due to involvement in illegal coal mining activity and other violations.
Surna was quoted as saying by the daily Bisnis Indonesia that the move was part of efforts to fight rampant illegal coal mining in South Kalimantan.
The five cooperatives are KUD Bersama, KUD Bina Bersama, KUD Madu Ratna, KUD Usaha Karya and KUD Resota.
Surna said that the cooperatives had bought coal from illegal miners.
Surna said that the cooperatives had neglected earlier warning from his office.
He said that the cooperatives also failed to pay its obligations and make activity report.
Surna also said that his office had warned two other cooperatives and few coal mining firms over involvement in illegal mining.
Illegal coal mining activity has been rampant in South Kalimantan province over the past year. Experts have said that this was due to the moribund property sector causing businesses to divert their heavy equipments into the coal mining activity. (*)