IAGI, Perhapi to certify mining reserves

By Thomas R. Sembiring

The Indonesia Stock Exchange has officially appointed the Indonesian Geologists Association (IAGI) and the Indonesian Mining Experts Association (Perhapi) to certify the reserves of mining firms planning to carry out initial public offering (IPO).

The cooperation comes after the IDX recently introduced a new ruling allowing mining firms still in exploration stage to raise funds from the public via IPO. One of the conditions is that they must have their mine reserves certified by independent institutions such as IAGI or Perhapi.

?This would expand funding source of coal and mineral mining companies,? said IDX President Director Ito Warsito.

Director General of Mineral and Coal R. Sukhyar welcome the appointment of IAGI and Perhapi as certification of Indonesian mining assets in the past had been largely made by Australian experts.

Editing by Reiner Simanjuntak