Newmont May Resume Export in October
1 September 2014 15:40 WIB
TEMPO.CO, Jakarta - The government may allow US miner Newmont Nusa Tenggara to resume its exports activities in October, once the company retracts its arbitration in the International Centre for Settlement of Investment Disputes (ICSID).
Chairul Tandjung, Coordinating Minister for the Economy, said that before Newmont can export again, it must meet requirements set by the government, including depositing the smelter development cash guarantee.
"Hopefully the negotiation process will be completed soon," Chairul said last weekend.
The ICSID, Chairul said, has sent a letter to the government regarding Newmont's lawsuit withdrawal. The court expects the Indonesian government to respond before September 24.
Chairul said the government will accept the withdrawal if Newmont is committed to comply with regulations in Indonesia; exporting processed mineral only and building a smelter.
Newmont and Nusa Tenggara Partnership BV filed for arbitration to ICSID on July 1, 2014. Newmont protested Indonesia's policy on Mineral and Coal, which prohibits the export of minerals in concentrate form, because the ban had caused Newmont to cease operations in its Batu Hijau Mine in Sumbawa, West Nusa Tenggara.
Last Wednesday, Newmont retracted its suit after high officials in the Indonesian government said they would reopen formal negotiations. The results of these negotiations will be followed by resuming copper concentrates export from the Batu Hijau mine.
ANGGA SUKMA WIJAYA | JAYADI SUPRIADIN | SUPRIYANTO KHAFID (MATARAM)
