State-run Mining Holding Company Established This Year

Friday, 13 OCtober 2017 , 09:00:00 WIB -

Minister of State-Owned Enterprises, Rini Soemarno (right), accompanied by Telkom President Director, Alex J Sinaga (left), BRI President Director, Suprajarto (second left); Waskita Karya President Director M Choliq (third left), BTN President Director Maryono (in the middle); PP President Diretor, Tumiyana (third right) and BNI President Director, Achmad Baiquni (second right), is seen giving statements to the press, Jakarta, Thursday (5/10).(ANTARA)

JAKARTA, GRES.NEWS – The Ministry of State-Owned Enterprises (SOE) targets to introduce a state-run mining holding company this year. The constitutes: PT Inalum, PT Aneka Tambang Tbk, PT Timah Tbk and PT Bukit Asam Tbk.

Ministry of SOEs deputy for mining and strategic industries Fajar Harry Sampoerna said the new holding company now awaits signatures for the Minister of Finance and President Joko Widodo, before a general meeting of shareholders is held to make the statutes.

"The draft government regulation has been harmonized. Once it reaches the President’s table, it is done. It is now in the Minister of Finance’s table," Harry said, at the House of Representatives’ building in Jakarta, Tuesday (10/10).

It is hoped that the documents reach the President’s table in October 2017. "Then we will draft the statues and bylaws. The Minister of Finance will set the shares value to determine the amount of capital that have to be deposited. This won’t take long, around a month," Harry added.

Harry further revealed that the holding company will buy some of the shares that Freeport Indonesia will divest.

"The main purpose of the holding company’s establishment is to secure the country’s mining sovereignty. The holding company will assure larger equity. The President asked for larger equity, so that state-run mining companies can compete with foreign counterparts. While the holding company is not established yet, Freeport can negotiate with the consortium of SOEs. After it is established, the company must negotiate with the holding company," Harry said. (dtc/rm)