Papua government, Freeport reach agreement on share divestment
Friday, January 7 2011 - 02:38 AM WIB
Copper and gold mining giant PT Freeport Indonesia has in principle agreed to sell a 9.36 percent of the company?s shares to the provincial administration of Papua, Investor Daily reported on Friday.
?Both have reached an agreement on the share divestment. They are still discussing the technical details of the divestment,? Bambang Setiawan, the director general of the mineral and coal at the ministry of energy and mineral resources was quoted as saying by the newspaper.
Bambang said that Freeport and Papua administration were still negotiating the financial aspects of the share divestment. ?It is their business and the government will not be involved.?
Bambang also said that under its contract of works, Freeport is not obliged to divest a part of its shares to local investors. (*)