Koba Tin contract extension still under evaluation
Tuesday, April 2 2013 - 06:32 AM WIB
SGX-listed company Malysia Smelting Corporation Berhad, 75 percent shareholder of PT Koba Tin recently stated to have received notification from the Indonesian government, stating that it is still continuing with its evaluation for the extension of Koba Tin?s Contract of Work (CoW) which expired on 31 March 2013.
In the meantime, the Indonesian tin producer is still given permission to continue undertaking production operation until its evaluation is complete, most likely up to a maximum period of three month effective from 1 April 2013, the company said in a statement Tuesday.
PT Koba had earlier submitted the application for 1 to 10 year extension of the CoW until the year 2023.
As previously announced, if the CoW was not renewed by 31 March 2013, it would have an adverse impact on the company?s investment and contingent liabilities decided to make the full provision of RM150 million in the accounts for the financial year ended 31 December 2012.
Editing by Er Audy Zandri