List of mining companies allowed to continue operations in protected forests

Friday, March 12 2004 - 03:43 AM WIB

The government has issued a regulation in lieu of law (PERPU) that will allow 13 mining companies to resume their operations in protected forests in a bid to provide legal certainty for investors.

The Ministry of Energy and Mineral Resources said in a release on Friday the 13 companies are PT Freeport Indonesia, PT Karimun Granite, PT INCO Tbk, PT Indominco Mandiri, PT Antam Tbk (Bali-Malut), PT Natarang Mining, PT Nusa Halmahera Mineral, PT Pelsart Tambang Kencana, PT Interex Sacra Raya, PT Weda Bay Nikel, PT Gag Nickel, PT Sorikmas Mining, PT Antam Tbk (Bahubulu-Sultra).

The 13 mining companies to be affected by the PERPU are among 22 mining firms that appealed to the government to be allowed to resume their operations in protected forests following the implementation of Forestry Law No. 41/1999 banning open-pit mining in protected forests.

According to The Jakarta Post, the remaining nine companies will not be given licenses to resume their mining activities in protected forests because no proven and economically viable reserves have been found in their areas.

However, Mahyudin Lubis, the ministry's Director of Mineral Resources and Coal Exploitation, said in the statement the nine companies were on the "second priority" of getting permission to continue their mining operations in protected forests.

The nine companies are PT Newmont Nusa Tenggara, PT Sungai Kencana, PT Irja Eastern Mining, PT Kalimantan Surya Kencana, PT Nabire Bakti Mining, PT Dairi Prima Mineral, PT Newmont Horas Nauli, PT Maruwai Coal, and PT Sumbawa Timur Mining.

Under Indonesia's legal system, a perpu is equal to a law in legal power. It is normally used in case of emergencies to avoid the long lawmaking process which involve the House of Representatives. It takes effect immediately and remains so until the House approves a law to replace it.(Godang)

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