Press release: KPC clarifies industrial dispute in Sangatta operation
Tuesday, March 27 2001 - 09:30 AM WIB
Kaltim Prima Coal (KPC) wishes to correct impressions created by misreporting of an industrial dispute affecting its Sangatta operation.
For eight weeks, a contractor who maintains KPC's Liebherr 996 shovels has been in dispute with its workforce who are members of SBSI labour union. The equipment belongs to KPC but a strike and blockade of the contractors' workshop and warehouse have affected reliability of the shovels.
On Friday 23rd March, the strikers entered KPC's mining area and hijacked the shovels with the assistance of a small number of KPC employees who are also members of the same SBSI Union. Since then, KPC's production capacity has been reduced to 50% or 25000 tonnes per day.
Stocks of coal are low but shiploading is continuing. Police have been urged act to release the equipment that has been seized illegally. The Sangatta community has condemned the actions of SBSI and seeks its banning from the Sangatta area.
Contact: Bambang Susanto, GM External Affairs, PT Kaltim Prima Coal, Tel. 021 5274208, Fax. 021 57903839 (*)