North Barito administration demands a review of Indo Muro Kencana mining contract

The administration of the North Barito regency in Central Kalimantan demands the central government to review the mining contract of Australian gold mining company Aurora-Gold's subsidiary PT Indo Muro Kencana (IMK) because the company's contribution to the coffer of the administration was small.

Public relations officer of North Barito regency Muhammad Wa'il said that IMK only contributed one percent of its total production to the local government.

"But this is not in line with the aspiration of the region. That's why we demand the government to review the IMF contract," Muhammad said.

He said that the one percent contribution was in the form of royalty, which had to go first to the coffer of the central government in Jakarta before handed over to the local administration. (R. Amoros)