Koba Tin may operate under IUPK permit
Monday, June 17 2013 - 04:06 AM WIB
Thabrani Alwie, the chief of independent team for the study of Koba Tin contract extension, said in Jakarta on Saturday that the team was finalizing its recommendation on the future of the tin mining company.
The recommendation would be soon submitted to the Energy and Mineral Resources Ministry so that the government would have second opinion in deciding the future of the company, Thabrani said. But, he refused to unveil if the team would propose the government to renew the contract.
?If the government finally agrees to extend the contract, Koba Tin will operate under an IUPK permit,? he said.
Koba Tin, which is 75 percent owned by Malaysia Smelting Corporation Berhard and 25 percent by PT Timah, obtained a 30-year contract of work to develop a mining area in Bangka Belitung in 1973. The contract, which ended in 2003 was extended for 10 years in 2003.
The renewed contract ended in March, this year but the company was given up to June to continue its activities to allow the government enough time to decide whether or not the contract would be extended for any more years.
Director General of Coal and Mineral Thamrin Sihite said that the government had not decided the future of Koba Tin. ?But, if the government agrees to renew the contract, state owned tin mining company PT Timah will become a majority shareholder,? he added. (*)