Local villagers threaten to close KPC's coal mine in Kalimantan

Angry villagers have threatened to close one of PT Kaltim Prima Coal's (KPC) mining areas in Sanggata, East Kalimantan after the company's mining contractor PT Thiess refused to meet their demand, local newspaper Kaltim Pos reported on Saturday.

The newspaper reported that the villagers living in Singa Gembara village, located near the company's Pit J mining site had demanded Thiess to reduce the use of explosives in its mining activities because the explosion caused by the mining activities had damaged most of their houses.

In addition, the villagers also demanded Thiess to pay cash compensation for the damages of their houses. During a negotiation held in Sanggata on Friday, Thiess agreed to reduce the use of explosives and to repair the damaged houses.

The villagers, however, rejected the offer to repair their houses. They instead asked the company to pay cash but the demand was rejected by Thiess because it said the cash payment was not included in the negotiation agenda as agreed earlier.

Commenting on the villagers' threat to close the Pit J mining site, KPC's Community Development manager Retno Nartari said that the closure of the mining site would not only hurt the company but also the local residents who mostly worked in the mining site. (*)