Pertamina to form team to resolve Dumai land dispute
By R. Amoros
Friday, July 14 2000 - 04:00 AM WIB
The state owned oil and gas firm Pertamina will immediately form an investigation team to settle its land dispute in Dumai, Riau.
Pertamina spokesman Ramli Djaafar said on Thursday that the team would include people from the state comptroller agency (BPKP) and Pertamina's board of commissioners.
Ramli said that Pertamina had initiated a preliminary investigation, and based on that the company had to provide a compensation for around 1,300 ha.
But he said that the people's price demand of between 40,000 and Rp 60,000 per sqm for their land was unrealistic.
He said that even if Pertamina sold the Dumai refinery complex, it would not be able to repay the land compensation.
He said that the Pertamina investigation team would make a study on the appropriate land compensation price. (*)