Mining contractors challenge export ban policy at court

Mining service contractors testified at the Constitutional Court on Wednesday, challenging the 2009 Mining Law particularly Chapters 102 and 103, which have been used by the government to impose the controversial mineral ore export ban policy on January 12 of this year.

Giving a testimony at the court as part of a judicial review of the Mining Law, Indra Rismanto,, President Director of mining services contractor PT Meta Estetik Graha said that his company has suffered losses worth billions of rupiah following the January 12 policy as miners as clients suddenly terminated the contracts.

Similar protest was also expressed by President Director of PT Putra Ketapang Mandiri, Khaidar Mubarak, who said that following the export ban policy, the firm?s client PT Harita Mineral terminate the mining service contract as the latter could no longer export ores.

President of PT SBS Witri Latief said his firm has been forced to suspend 250 workers as Harita, which is also the firm?s client, cancelled a mining road construction project.

The government introduced the export ban on mineral ores as mandated by the Mining Law to force miners to develop domestic smelters in a bid to generate greater value for the country from the mineral commodities. (*)