Govt won't extend contract of Koba Tin
Friday, July 13 2012 - 02:08 AM WIB
"We already have tin technology. So, we don't need to extend it (contract of Koba Tin)," Director General of mineral and coal at the ministry of energy and mineral resources, Thamrin Sihite said as quoted by Antara.
Thamrin also said that he did not know about the appointment of two new commissioners in Koba Tin which was reported to ease the process of applying for extension of the mining contract of Koba Tin. "I have not been informed about it," he said.
At present 25 percent of the company`s shares is owned by PT Timah Tbk. and the rest 75 percent by Malaysia Smelting Corporation Berhad.
The company`s working contract is expected to expire in April 2013 after being extended for 10 years since 2003.
In April 2012, Koba Tin that has 41,510 hectares of mining concessionaire applied for an extension of the contract.
Based on data from the ministry of energy and mineral resources the company`s production has continued to drop after reaching its peak at 24,000 tons a year. In 2012 its production was recorded under 10,000 tons.(*)