KPC operation gradually resume to normal: Official

Thursday, March 15 2001 - 05:00 AM WIB

The operation of coal mining company PT Kaltim Prima Coal (KPC) in Sangatta, East Kalimantan, has gradually returned to normal after the protesting Bengalon villagers started to end their blockade on Wednesday, according to company general manager for external relations Bambang Susanto.

"The operation has gradually returned to normal," Bambang told Petromindo.com via phone.

Bambang, however, feared that the protesting villagers might return again once the Police leave the mining site.

Separately, the local Kaltim Post daily reported that talks between the protesting villagers and KPC remained stagnant as the villagers continued to demand land compensation, while the company insisted that it had paid the compensation.

The villagers, who claimed ownership on more than 3,000 ha of KPC mining site, made the blockade since February 28 in a bid to force the company to pay compensation for their land. But KPC has said that it had paid the compensation for a total of 7,000 ha of land to another group of villagers.

The blockade had caused KPC production to drop by 60 percent.(Godang S.)

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