Sonny says government has no plan to shut down Freeport

State Minister of Environment Sonny Keraf said the government had no plans to shut down the operation of copper and gold mining company PT Freeport Indonesia in Irian Jaya and denied that the government had a discriminative policy against American companies.

Sonny said on Friday in New York the spate of criticism launched by many parties against the company merely pertained to the environmental impact of its operations.

He said the government was always stern towards any foreign companies, including Freeport as far as environment is concerned.

"There isn't any discrimination. It (the criticism) is purely concerning environment and is not related to its being an American company. We are always stern toward any foreign companies as far as the environment is concerned," he was quoted by Neraca daily as saying.

He said a joint team comprising officials from his office and Ministry of Mines and Energy was currently auditing the environmental impact of the company's operation and its community development program. The team was expected to complete its audit by June.

Sonny admitted that he had "some problem" with Jim Bob Moffet, the CEO of Freeport's holding company Freeport McMoRan Copper & Gold of the United States.

Sonny recalled Moffet once asked to meet him but he turned down the request and was only ready to meet him after his minister friend Laksamana Sukardi came to arrange the meeting.

The meeting was then held with the presence of other officials. After the meeting, Moffet asked for a one-for-one discussion with Sonny but the request was rebuffed.

Moffet then reported the case to American ambassador in Jakarta who then came to Sonny complaining the apparent discriminative policy of the Indonesian government against American companies. (*)