Newmont criticized for giving privilege to outsiders

Construction companies in West Nusatenggara (NTB) have charged PT Newmont Nusa Tenggara (NNT) with giving a privilege to their rivals from outside the province in carrying out the gold mine operator's construction works, Bali Pos reported on Saturday.

An executive of a local construction company said that the United States-based gold producer had appointed a company from Bandung in the construction of its office and a school building near its mining site in the Jereweh district of the Sumbawa regency without passing through an open bidding process.

"How could the local companies benefit from the company's mining operation if all of its projects are carried out by companies from other provinces," he said, adding that Newmont is not transparent and it has never announced the bidding process for large-scale projects.

He cited the construction of the company's office and a junior school building in Jereweh district as an example of the company's unfair treatment to the local contractors. The projects worth Rp 2.6 billion should have been tendered to give equal opportunities to the local companies to participate in their construction, he said. "The company instead appointed a company from Bandung to carry out the project," he added.

Iradati Fuad, the spokesman for Newmont, denied the charge, saying that the accusation was groundless because the company always followed the existing regulations in doing it business in the province.

About the school and office building projects, Iradati said that the company had never named a Bandung based company to carry out the projects. "The selection has not been made. The company has yet to announce the tender for the projects," she added.(*)