South Kalimantan needs Rp 460b to improve land damaged by illegal miners
Thursday, March 15 2001 - 05:00 AM WIB
South Kalimantan's governor H.M. Sjachriel Darham said the province needed Rp 459.2 billion (US$1=Rp 9,998) to improve the conditions of lands damaged by illegal miners.
Sjachriel, in a meeting with the House of Representatives's Commission VIII for energy and mineral resources, environment, science and technology on Tuesday, said while damaging land and causing pollution, the illegal miners paid no taxes to the province and discouraged investors from entering the province.
He did not specify whether the province had obtained the fund for the land improvement or if it had started the land improvement
He said in a report distributed during the meeting that the province had identified 295 locations of illegal coal miners in the province as of Aug. 31, 2000, 53 locations of illegal gold miners as of March 31, 2000, and 31 locations of illegal diamond miners as of March 31, 2000.
Sjachriel said the damage caused by illegal coal miners was more severe than other illegal miners, because the former used heavy equipment in their operations.
Sjahriel also said based on the data collected by the government and companies operating in the province, the province is believed to have coal reserves of 5 billion tons, gold ore reserves of 2.1 million tons with gold content of 2.48 grams per ton, and diamond sands of 23.5 million cubic meters with diamond content of between 0.08 and 0.10 carats per cubic meters.
Besides, the province is believed to have iron ore reserves of 144.8 million tons with iron content of between 42 percent and 67 percent.
Sjachriel further explained that today 10 foreign investors, who hold diamond and gold contracts of work (COW), were doing feasibility study in the province. Another 10 foreign investors, who hold coal COW, were still doing feasibility study, explorations, or have started construction and production.
Besides, Sjachriel said, ten local investor, who hold licenses to mine non-coal reserves, and 23 investors, who hold licenses to mine coal reserves, were doing feasibility study and exploration in the province.
Aside from the local and foreign mining companies, 23 coal cooperatives are doing exploration and have started production in the province, the governor said. (Epin).