Tender of ex-Koba Tin concession hampered by House

The Ministry of Energy and Mineral Resources has yet to be able to hold tender for the former tin concession of PT Koba Tin (4,334.26 ha) in Bangka Belitung, Kontan reported on Saturday.

The paper quoted a source as saying that the House of Representatives has yet to approve the conversion of the ex-Koba Tin concession's current status of State Reserves Area into Special Mining Business Permit Region (WIUPK).

He said the conversion into WIUPK is necessary for the ministry to be able to carry out the tender.

Meanwhile, House Commission VII member Kurtubi said the House can't give its approval immediately as the previous miner of the concession must first complete the required reclamation process.

Hendrasto, Director of Coal and Mineral Technique and Environment, said the reclamation process is currently in progress.

PT Koba Tin returned the total 41,344.26-ha concessions to the government after its mining contract expired in September 2013. State-controlled tin giant PT Timah Tbk last year formed a joint venture with companies owned by local administrations in Bangka Belitung to acquire the ex-Koba Tin concessions, but the consortium was later dissolved due to uncertainty whether the concessions would be put to auction by the government. (*)