Papua to Obtain 10% Freeport Indonesia Shares

Wednesday, 11 OCtober 2017 , 12:00:00 WIB -

Minister of Energy and Mineral Resources Ignasius Jonan (ANTARA)

JAKARTA, GRES.NEWS – The Minister of Energy and Mineral Resources, Ignasius Jonan, said after a recent meeting with Papua Governor, Lukas Enembe, that Papua will obtain 10 percent of the shares that will be divested by PT Freeport Indonesia.

A special staff from the same ministry Hadi M Djuraid said the meeting, which was also attended by vice energy minister Arcandra Tahar, also assured that the mining company will divest 51 percent of its shares, despite the recent news spread.

Jonan explained that, in the meeting with Freeport McMoRan Inc., chief executive officer (CEO), Richard Adkerson, the company has agreed several points, namely to divest 51 percent of its shares, to build a smelter and to replace its Work of Contract (KK) permit with a Special Mining Business Permit (IUPK).

The company still disagrees on the mechanism, timing and the formula to valuate the shares. These points are to be further negotiated with the government. (dtc/mag)