Kutai Kartanegara regency stops coal mining operation

Tuesday, May 24 2011 - 01:12 AM WIB

The Kutai Kartanegara regency administration in East Kalimantan has stopped the operation of coal miner PT Kaltim Bara Abadi (KBA) because its concession overlaps with a palm oil plantation, Kaltim Pos reported.

Kutai Kartanegara?s head of mining and energy, Assobirin said on Monday that his office has issued a decree No. 540/884.a/PIT/V/2011. ?The stoppage of mining operation will hold until further notice,? he said.

He said the regency decree was issued following an inspection by mining inspectorate that found the mining area is located within the palm oil plantation belonging to PT Sawit Kaltim Lestari (KSL) and also the decision by Supreme Court to overule KBA?s claim over its mining area.

KBA has an IUP operation and production but it did not mention the company?s coal production. (*)

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