Koba Tin gets tin export licence

Malaysia Smelting Corp. (MSC) said that its Indonesian subsidiary tin producer PT Koba Tin operations has been granted an export licence by the Ministry of Trade in Jakarta effective from April 18, 2007.

Shipment will be immediately resumed to an average of 500 to 600 tons of tin metal per month, the company said in statement on Wednesday.

The company would also intensify its discussion with the authorities for permission for the release of the 500 tons of tin metal still withheld by the police.

However, production from small-scale mining operations within the company?s Contract of Work (CoW) area shall remain suspended pending the outcome of ongoing discussion with Indonesian authorities, the company said

Earlier, Koba Tin?s delivery and shipment was suspended as a result of the current Indonesian police investigation on Koba Tin as part of the Indonesian Government?s efforts to regulate the country?s tin mining.

In relation to the investigation on PT Koba Tin and its 3 executive directors, the legal counsels for the subsidiary have advised that the Indonesian police have completed their investigation and consequently handed over all the investigatory documents and findings (dossier) to the Attorney General?s office.

MSC owns a 75 persent stake in Koba Tin, the remaining hold by state-owned tin miner PT Timah.

Koba Tin operates under a CoW issued by the Indonesian Central Government and covering a total mining acreage of about 41,000 ha. The CoW has enough reserves to last until its expiry date at the end of 2013. (denny)