Interra announces TMT contract expired
Friday, December 16 2016 - 01:51 PM WIB
SGX-listed Interra Resources Limited announced on Friday that the Tanjung Miring Timur (TMT) Technical Assistance Contract (TAC) in South Sumatra, in which its wholly owned subsidiary Goldwater TMT Pte. Ltd. (GTMT) has a 100 percent participating interest, expired on Dec. 16, 2016.
The company stated in a press release on Friday that the Indonesian authorities have discontinued the issue of TACs, which are replaced by other forms of co-operation agreements such as Joint Operations (Kerja Sama Operasi or KSO) and Strategic Alliances (Kerja Sama Aliansi or KSA).
GTMT has been negotiating with and has submitted a proposal to PT Pertamina EP (?PEP?) to, inter alia, seek an extension of operations in the TMT field for a period of 12 months from the expiry of the TAC. This temporary extension will allow GTMT and PEP to negotiate a more permanent solution for the continuation of the operations in the TMT field, in the form of a joint operation, strategic alliance or some other contractual arrangement.
PEP is conducting internal discussions and considering the proposal submitted by GTMT. The Company will provide an update to shareholders once it receives a reply from PEP.
Editing by Benget Besalicto ST