Pertamina needs only to pay $100 million in fines to KBC: Vice President

State owned oil and gas company PT Pertamina needs only to pay US$100 million in fines to Karaha Bodas Company (KBC) should the former loses its legal battle against the American energy company, according to Vice President Jusuf Kalla

Jusuf was quoted by Koran Tempo as saying on Friday that Pertamina needed only to pay $100 million in fines, rather than $299 million as ordered by American lower courts, after taking into account the tax arrears payable by KBC to the government.

?The government has already prepared the (formula of ) calculation of taxes,? Jusuf said on Friday in Jakarta, adding that the government was trying to end the dispute in a fair manner.

Both KBC and Pertamina have been involved in a legal dispute in the U.S. following the government's decision to suspend KBC's geothermal project in Indonesia in 1998.

The legal battle is still in progress. But, Pertamina has been ordered by the lower courts to pay up to $299 million in fines to KBC. (*)