Erick Thohir Affirms Vale Divestment Conforms to Policy

TEMPO.CO, Jakarta - Indonesian SOE Minister Erick Thohir affirmed that the divestment of shares by PT Vale Indonesia to the mining SOE MIND ID is in accordance with the existing policy.

"I'm not against foreign investment, but this is the policy, the share has to be relinquished [to a national company]," said Erick Thohir after attending SOE-Private Synergy Forum in Jakarta on Monday, August 14, 2023.

Erick also explained that his office has urged the Ministry of Energy and Mineral Resources to draft a win-win regulation. He added that Vale's divestment is similar to the divestment of shares by PT Freeport Indonesia.

Furthermore, Erick hopes that the Vale divestment process could be finalized soon. "This is a business-to-business process, so we could only hope for [the divestment] to be finalized soon. We'll follow the lead for the amount [of the shares to be divested]," he concluded.

Previously, Energy Minister Arifin Tasrif said that the divestment is nearly completed. He revealed that PT Vale Indonesia has agreed to relinquish 14% of its shares to MIND ID.

"[The divestment is] at the finishing stage," said Arifin to reporters in his office on Friday, August 4, 2023. "[Vale has divested] 40% before, and now [they will relinquish] 14% of its shares. So, it's 54% in total."

AMY HEPPY

Editor's Choice: Erick Thohir Affirms Vale's Mandatory Divestment

Click here to get the latest news updates from Tempo on Google News