RELEASE: Straits Resources Limited: Sebuku coal mine blockade
Thursday, February 19 2004 - 12:30 AM WIB
SEBUKU COAL PROJECT, INDONESIA
19 February 2004 -- Recent media releases in Indonesia have reported disruptions to the Sebuku Coal Project in South Kalimantan which is operated by PT Bahari Cakrawala Sebuku (?PTBCS?) and is 80 percent owned by Straits Resources Limited (?Straits?). The Directors of Straits wish to clarify the current situation which is as follows:
Mining operations at Sebuku were temporarily suspended on 16 February following disruptive activities and threats upon the workforce made by a nonresident Dayak group who are seeking improper and illegal payments from the company. Shiploading activities are not affected at this time.
The company has the full support of the local community and government. The Indonesian police force has also stated their desire to maintain a peaceful environment and to protect the legitimate interests of the company against these illegal activities.
The company has a long history of compliance with its environmental and community obligations as determined by its contract with the Indonesian Government and its various operating permits, and there are currently no complaints against the company by the Government or community.
Straits therefore considers the recent demonstration at the mine as opportunistic given the company's history of good community relations and strong government support.
As a matter of policy, any genuine matters of concern brought to the Company?s attention are dealt with in a professional and proper way. Given the improper nature of the demands made by the group, the directors believe that the matter will be resolved in the near future.
Developments on this matter will be communicated to the market as appropriate. (end of release)
For further information contact:
Mr Milan Jerkovic / Chief Executive Officer; Dave Greenwood / Group Manager Corporate Affairs
(08) 9480 0500
www.straits.com.au