JAKARTA (Yosefardi) – The government of Indonesia mulls to terminate contract of Newmont Mining Corp for Batu Hijau mining and might appoint state miner PT Aneka Tambang Tbk (ANTM) to become operator of the mine.
Newmont Mining Corp has appealed the government of Indonesia to international arbitration for mining export restrictions policy. It had stopped all activities of processing and production for copper concentrate at Batu Hijau mine, West Sumbawa, as the storage facility is on full capacity.
The termination of contract could be made after 90 days of default for recommencing the production at the mine area. The government of Indonesia is now willing to propose the default proposal to Newmont.
The government of Indonesia opts to stop renegotiation if Newmont did not withdraw its appeal to arbitration court.