Timah wants expansion first before government divest ownership

President of the state-owned tin mining company PT Tambang Timah Erry Riyana Hardjapamekas said on Friday that the publicly listed company wanted to expand through acquisition first before the government make a further divestment in the company.

Erry said that the acquisition would raise the company's value, which in turn would allow the government to raise greater amount of privatization proceeds.

Erry added that Timah was considering to acquire three "small and big" companies in the mining sector.

He added that Timah had provided between US$100 to $150 million to finance the acquisition.

He declined to provide further details.

But the company had indicated previously that among of its target included coal mining firms PT Kaltim Prima Coal and PT Berau Coal, and to take part in the gold mining operation in Mirah, in Kalimantan. (*)