Mining firms may file lawsuit against govt over mining policy

Nine mining companies are considering to file charges against the Indonesian government with the international arbitration if they are not allowed to resume mining operation in protected forest, Bisnis Indonesia daily reported Friday.

"The government should be prepared to face charges from the nine firms. They may report their cases to international panels of arbitrators," Paul Louis Coutrier, executive director of Indonesian Mining Association, was quoted as saying by the daily.

The nine firms were among of the 22 companies which had been forced to stop their activities in different parts of Indonesia after the government issued a law in 1999, Law No. 41/1999, to ban open pit mining in protected forests.

But after years of lengthy public debate, the government recently issued a regulation in lieu of the current forestry law, to allow mining firms whose projects were effected by the law to resume their activities in the country's protected forest areas.

The Ministry of Energy and Mineral Resources earlier said that 13 of the 22 companies could continue their activities in the forest areas. They were 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, and PT Antam Tbk (Bahubulu-Sultra).

The ministry also said the remaining nine companies were on the "second priority" of getting permission to continue their mining operations in protected forests. They were 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. (*)