Three PKP2B coal miners agree to amend contract

Three large coal miners holding the so-called first generation PKP2B coal contracts of work have agreed to amend their contracts to be adjusted with the conditions mandated by the 2009 Mining Law, Kontan daily reported on Monday.

The paper quoted Director General of Coal and Mineral R. Sukhyar as saying that the three miners are PT Multi Harapan Utama, PT Indominco Mandiri, and PT Kendilo Coal Indonesia. He said that the three have agreed on the six main points of contract renegotiation proposed by the government.

?We will soon sign MoUs with the miners which have agreed on the six main points of (contract) renegotiation,? Sukhyar said, but did not specify as to when the MoUs will be signed.

He, however, hoped that the signing of the MoUs with the three miners would encourage other large miners holding the first generation PKP2B contracts to follow suit.

Miners holding the first generation PKP2B contract account for more than half of the country?s coal production. (*)