Makassar (ANTARA Sulsel) - The government of Indonesia and PT Vale Indonesia signed an amendment to the working contract of the publicly traded nickel mining company as required by the law on mineral and coal.
PT Vale Indonesia, formerly PT International Nickel Indonesia (INCO) is a subsidiary of Vale, a Brazil-based global mining company.
It has nickel mining concession in Soroako , Sulawesi producing nickel matte and ferronickel with plants in that area.
The amendment was signed by Coordinating Minister for Economy Chairul Tanjung in his capacity as caretaker minister for energy and mineral resources and Vale Indonesia president and chief executive office Nico Kanter.
With the amendment the working contract, which is to last until December 2025, concession is cut to 118,435 hectares from 190,510 hectare earlier.
The two side agreed to raise the royalty to 3 percent from originally 2 percent.
"PT Vale also is required to divest 20 percent of its shares to Indonesian partner," Nico said.
It is in line with the regulation that a mining comp0any is required to divest 40 percent of their shares to Indonesian investors.
The company already sold 20 percent of its share to investing public through the Indonesian Stock Exchange, therefore it is still required to divest 20 percent more to its Indonesian partners.
Penerjemah : A Saragih/Yosef
PT Vale Indonesia, formerly PT International Nickel Indonesia (INCO) is a subsidiary of Vale, a Brazil-based global mining company.
It has nickel mining concession in Soroako , Sulawesi producing nickel matte and ferronickel with plants in that area.
The amendment was signed by Coordinating Minister for Economy Chairul Tanjung in his capacity as caretaker minister for energy and mineral resources and Vale Indonesia president and chief executive office Nico Kanter.
With the amendment the working contract, which is to last until December 2025, concession is cut to 118,435 hectares from 190,510 hectare earlier.
The two side agreed to raise the royalty to 3 percent from originally 2 percent.
"PT Vale also is required to divest 20 percent of its shares to Indonesian partner," Nico said.
It is in line with the regulation that a mining comp0any is required to divest 40 percent of their shares to Indonesian investors.
The company already sold 20 percent of its share to investing public through the Indonesian Stock Exchange, therefore it is still required to divest 20 percent more to its Indonesian partners.
Penerjemah : A Saragih/Yosef