Medco files objection against KPPU ruling
Wednesday, February 2 2011 - 08:35 AM WIB
Tbk filed with the South Jakarta District Court an objection against the ruling by the Commission for the
Supervisifrion of Business Competition (KPPU) over the Donggi-Senoro LNG project in Sulawesi.
The firm, through its subsidiary PT Medco E&P Tomori Sulawesi, owns the LNG project in partenrship with state owned oil and gas firm PT Pertamina and Japanese firm Mitsubishi Corp.
On Jan. 6, the KPPU ruled that the partnership had conducted unfair business practices during a beauty contest aimed at keeping Australian firm LNG Ltd from winning the contract to develop the LNG plant.
The KPPU then ordered the three firms to pay fines for their conduct.
Medco in a statement filed with the Indonesian Stock Exchange on Wednesday noted that the KPPU ruling "has not been legally final and binding."
The firm thus filed an objection to the KPPU ruling on Jan. 31 with the South Jakarta District Court.
"The Company and Medco Tomori shall obediently follow the schedules and legal proceedings which will be determined by the South Jakarta District Court and shall always provide update information with respect to such Objection process.
"This Objection process will not affect the development of Donggi Senoro LNG Project nor change the commitment of the Company and Medco Tomori together with their business partners, to accomplish the project in timely manner," the company said. (*)