Minahasa complains about Newmont mining royalty

The Minahasa administration in North Sulawesi expressed concern that it has not yet received mining royalty from gold mining company PT Newmont Minahasa Raya (NMR) although the latter would soon end its mining operation in the Mesel Ratatotok area, the local Berita Telegraf daily reported Friday.

?What is important to be highlighted in this meeting is the fact that we have not yet received mining royalty from Newmont, while the company?s operation will soon end,? said Minahasa Regent Dolfie Tanos during a meeting with NMR and local legislative council.

NMR was presenting its mining closure plan to the local administration.

In response to complains made by the Minahasa regent, NMR external relations manager Tri Harjono said that the company had fully paid its mining royalty obligation to the central government in Jakarta.

?The Minahasa administration can ask its to the central government,? he said.

NMR will end its physical mining activity in Mesel at the end of this year. Gold production will end in 2003, and mining closure would start in 2004. NMR will still supervise the post-mining period from 2004-2006.

Meanwhile, the local legislative council demands the Minahasa administration to be active in supervising the process of the mining closure to ensure that the interest of regency was maintained.(*)