We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Monday, 27 April 09
INDONESIA MINING RULES MAY DETER INVESTORS-OFFICIALS - REUTERS
Indonesia's rules on foreign divestment of mining projects must be revised to address issues such as finding buyers if Southeast Asia's biggest economy is to attract new investment in the sector, industry officials said.
The issue of divestment, whereby foreign investors are required to sell down their stakes in local units, has led to several disputes involving global players.
A local unit of Newmont Mining Corp (NEM.N) is currently involved in an arbitration case over share divestment. In 2003, Rio Tinto (RIO.AX) and BP (BP.L) were embroiled in a long legal battle over the sale of a stake in PT Kaltim Prima Coal (KPC)
A new mining law passed in December requires foreign investors to divest shares to either the government, state-owned enterprises, and/or a local private entity after the fifth year of commercial production.
The previous mining law, dating from 1967, did not include this requirement. However, some mining companies, including PT Newmont Nusa Tenggara (NNT), were required to divest some of their shares to the government and local investors according to the terms of their contract of works with the government.
"The main concern for investors is the divestiture process that KPC and Newmont experienced was bad, because the provision in the contract of works was not well drafted," said Bob Parsons, an independent mining consultant.
"The divestiture provision will discourage foreign investment because it's against international business practices," he added.
The new mining law promises more certainty for investors, but also includes some contentious issues, with contracts of work replaced by shorter-term mining permits.
Priyo Pribadi Soemarno, executive director of the Indonesian Mining Association, said the five-year divestiture period was too short.
"Mining is a long-term business and is financed through loans. They need time to reach break-even point, repay the loan before starting to sell their shares, and five years is not sufficient," Soemarno said.
"We are not against divestiture. But it should not make it difficult for foreign investors to do it."
The association warns that mining investment in Indonesia may drop below $1 billion this year, adding that there may be no fresh projects as metal prices fall and miners await details of the new mining bill including the divestiture provision.
The government is more upbeat, saying mining and geothermal investment could hit $2.24 billion, up from $1.6 billion in 2008.
GOING PUBLIC?
One of the main obstacles for a foreign investor is finding a buyer, as shown by Newmont's experience with its unit, NNT, which operates the Batu Hijau copper and gold mine in Sumbawa.
Under its contract of work, Newmont must sell 51 percent of its shares in the unit to local investors, with the finance ministry having first right of refusal on all the share sales.
The Indonesian authorities said Newmont had not sold its shares quickly enough, even though the finance ministry did not take up the offer to buy the shares because of limited funds and other spending priorities, leading to a dispute.
An arbitration court ruled earlier this month that Newmont must sell a 17 percent stake to the government within 180 days.
"It is easy for the law to mandate companies to sell their shares but when there is no buyer, what should they do?" said Parsons. "The regulations should anticipate various scenarios."
One solution, analysts suggest, is to allow foreign investors to list shares in the local venture on the stock exchange.
That strategy was used by PT International Nickel Indonesia Tbk -- in which Brazil's Vale Inco Ltd has a 60.8 percent stake -- when it sold a 20 percent stake in an initial public offering in 1990.
The government is now drafting the implementing regulations for the new law, including regulations on divestiture.
"We are discussing various options, including whether to release miners from the obligation to divest their shares if they cannot find buyers within a certain period," said an energy and mines ministry official, who asked not to be identified by name.
Source: http://uk.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUKJAK50340220090427?sp=true
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Sunday, 26 April 09
INDONESIAN GOVT SAYS COAL MINES CAUSE WEEKLONG FLOOD - THE JAKARTA POST
Samarinda administration in East Kalimantan admitted openly Thursday that the weeklong flood that paralyzed the city was caused by unruly management ...
Saturday, 25 April 09
FOREIGN SHARE DIVESTMENT STARTING THE 6TH YEAR OF PRODUCTION - MAJALAH TAMBANG
The government would set a divestment scheme for foreign miners, which would require companies to divest their ownership starting the 6th year of pr ...
Saturday, 25 April 09
INDO TAMBANGRAYA MEGAH ALLOCATED USD 126 MILLION FOR CAPITAL SPENDING - MAJALAH TAMBANG
Somyot Ruchirawat, President Director of PT Indo Tambangraya Megah, Tbk (ITMG), has announced the company's total dividend payment of Rp 1,345 per ...
Saturday, 25 April 09
MINING SECTOR IS STILL ON THE SURPLUS - THE JAKARTA POST
The global financial crisis is apparently also having an impact on the mining sector. People are thinking twice about investing in the mining sector ...
Saturday, 25 April 09
ADARO RUNS CATARACT OPERATION PROGRAM - THE JAKARTA POST
As part of its CSR program, thermal coal producer PT Adaro Indonesia has made cataract operations available to residents of Tandjung district, South ...
|
|
|
Showing 6791 to 6795 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Binh Thuan Hamico - Vietnam
- GMR Energy Limited - India
- Ministry of Finance - Indonesia
- Indo Tambangraya Megah - Indonesia
- Meenaskhi Energy Private Limited - India
- Makarim & Taira - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Bahari Cakrawala Sebuku - Indonesia
- SMC Global Power, Philippines
- Indian Oil Corporation Limited
- Wilmar Investment Holdings
- Alfred C Toepfer International GmbH - Germany
- Interocean Group of Companies - India
- Price Waterhouse Coopers - Russia
- Rio Tinto Coal - Australia
- Timah Investasi Mineral - Indoneisa
- Coalindo Energy - Indonesia
- The University of Queensland
- Karaikal Port Pvt Ltd - India
- Chettinad Cement Corporation Ltd - India
- Bulk Trading Sa - Switzerland
- Kohat Cement Company Ltd. - Pakistan
- San Jose City I Power Corp, Philippines
- Directorate General of MIneral and Coal - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Maharashtra Electricity Regulatory Commission - India
- The Treasury - Australian Government
- Thiess Contractors Indonesia
- Renaissance Capital - South Africa
- Electricity Generating Authority of Thailand
- South Luzon Thermal Energy Corporation
- Metalloyd Limited - United Kingdom
- Romanian Commodities Exchange
- PowerSource Philippines DevCo
- Bukit Makmur.PT - Indonesia
- Independent Power Producers Association of India
- Bukit Baiduri Energy - Indonesia
- Meralco Power Generation, Philippines
- The State Trading Corporation of India Ltd
- Georgia Ports Authority, United States
- Latin American Coal - Colombia
- McConnell Dowell - Australia
- Vizag Seaport Private Limited - India
- Planning Commission, India
- Altura Mining Limited, Indonesia
- PNOC Exploration Corporation - Philippines
- Bhatia International Limited - India
- Oldendorff Carriers - Singapore
- Sakthi Sugars Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Baramulti Group, Indonesia
- SN Aboitiz Power Inc, Philippines
- Grasim Industreis Ltd - India
- Mjunction Services Limited - India
- Global Coal Blending Company Limited - Australia
- Indonesian Coal Mining Association
- Energy Development Corp, Philippines
- Trasteel International SA, Italy
- Mercuria Energy - Indonesia
- Globalindo Alam Lestari - Indonesia
- Sojitz Corporation - Japan
- Jaiprakash Power Ventures ltd
- Kalimantan Lumbung Energi - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Videocon Industries ltd - India
- International Coal Ventures Pvt Ltd - India
- Directorate Of Revenue Intelligence - India
- Sarangani Energy Corporation, Philippines
- Medco Energi Mining Internasional
- Kapuas Tunggal Persada - Indonesia
- Wood Mackenzie - Singapore
- Samtan Co., Ltd - South Korea
- CNBM International Corporation - China
- India Bulls Power Limited - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Economic Council, Georgia
- Ind-Barath Power Infra Limited - India
- Toyota Tsusho Corporation, Japan
- Central Electricity Authority - India
- Edison Trading Spa - Italy
- CIMB Investment Bank - Malaysia
- Australian Commodity Traders Exchange
- Global Green Power PLC Corporation, Philippines
- Billiton Holdings Pty Ltd - Australia
- Australian Coal Association
- Pendopo Energi Batubara - Indonesia
- Borneo Indobara - Indonesia
- GAC Shipping (India) Pvt Ltd
- Kepco SPC Power Corporation, Philippines
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Essar Steel Hazira Ltd - India
- Semirara Mining Corp, Philippines
- London Commodity Brokers - England
- Karbindo Abesyapradhi - Indoneisa
- Eastern Energy - Thailand
- Singapore Mercantile Exchange
- OPG Power Generation Pvt Ltd - India
- Africa Commodities Group - South Africa
- Aboitiz Power Corporation - Philippines
- Pipit Mutiara Jaya. PT, Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Mintek Dendrill Indonesia
- Central Java Power - Indonesia
- Indian Energy Exchange, India
- Posco Energy - South Korea
- Krishnapatnam Port Company Ltd. - India
- Kideco Jaya Agung - Indonesia
- Maheswari Brothers Coal Limited - India
- Gujarat Electricity Regulatory Commission - India
- Merrill Lynch Commodities Europe
- Cigading International Bulk Terminal - Indonesia
- Rashtriya Ispat Nigam Limited - India
- MS Steel International - UAE
- Coastal Gujarat Power Limited - India
- Siam City Cement PLC, Thailand
- Port Waratah Coal Services - Australia
- GVK Power & Infra Limited - India
- Jorong Barutama Greston.PT - Indonesia
- Standard Chartered Bank - UAE
- Global Business Power Corporation, Philippines
- Sree Jayajothi Cements Limited - India
- Neyveli Lignite Corporation Ltd, - India
- Jindal Steel & Power Ltd - India
- LBH Netherlands Bv - Netherlands
- Orica Australia Pty. Ltd.
- Ministry of Transport, Egypt
- Xindia Steels Limited - India
- Siam City Cement - Thailand
- Vijayanagar Sugar Pvt Ltd - India
- TeaM Sual Corporation - Philippines
- Ambuja Cements Ltd - India
- Semirara Mining and Power Corporation, Philippines
- European Bulk Services B.V. - Netherlands
- Asmin Koalindo Tuhup - Indonesia
- Malabar Cements Ltd - India
- Bhushan Steel Limited - India
- Kumho Petrochemical, South Korea
- Kobexindo Tractors - Indoneisa
- Formosa Plastics Group - Taiwan
- Marubeni Corporation - India
- Commonwealth Bank - Australia
- VISA Power Limited - India
- Chamber of Mines of South Africa
- Attock Cement Pakistan Limited
- Ministry of Mines - Canada
- SMG Consultants - Indonesia
- Vedanta Resources Plc - India
- Tata Chemicals Ltd - India
- Mercator Lines Limited - India
- Iligan Light & Power Inc, Philippines
- Madhucon Powers Ltd - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Sindya Power Generating Company Private Ltd
- Lanco Infratech Ltd - India
- PTC India Limited - India
- Holcim Trading Pte Ltd - Singapore
- Power Finance Corporation Ltd., India
- Straits Asia Resources Limited - Singapore
- Indika Energy - Indonesia
- White Energy Company Limited
- Petron Corporation, Philippines
- GN Power Mariveles Coal Plant, Philippines
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Gujarat Sidhee Cement - India
- Antam Resourcindo - Indonesia
- Sical Logistics Limited - India
- Miang Besar Coal Terminal - Indonesia
- Goldman Sachs - Singapore
- Intertek Mineral Services - Indonesia
- Anglo American - United Kingdom
- Aditya Birla Group - India
- Bharathi Cement Corporation - India
- Coal and Oil Company - UAE
- Barasentosa Lestari - Indonesia
- Parry Sugars Refinery, India
- AsiaOL BioFuels Corp., Philippines
- IHS Mccloskey Coal Group - USA
- Manunggal Multi Energi - Indonesia
- Thai Mozambique Logistica
- Savvy Resources Ltd - HongKong
- Tamil Nadu electricity Board
- Kaltim Prima Coal - Indonesia
- Energy Link Ltd, New Zealand
- Sinarmas Energy and Mining - Indonesia
- Minerals Council of Australia
- Bhoruka Overseas - Indonesia
- Salva Resources Pvt Ltd - India
- Dalmia Cement Bharat India
- Star Paper Mills Limited - India
- Petrochimia International Co. Ltd.- Taiwan
- New Zealand Coal & Carbon
- Deloitte Consulting - India
- Riau Bara Harum - Indonesia
- Parliament of New Zealand
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Bangladesh Power Developement Board
- IEA Clean Coal Centre - UK
- Larsen & Toubro Limited - India
- Heidelberg Cement - Germany
- Carbofer General Trading SA - India
- Electricity Authority, New Zealand
- Orica Mining Services - Indonesia
- Eastern Coal Council - USA
- Uttam Galva Steels Limited - India
- Banpu Public Company Limited - Thailand
- Bayan Resources Tbk. - Indonesia
- Simpson Spence & Young - Indonesia
- Ceylon Electricity Board - Sri Lanka
- TNB Fuel Sdn Bhd - Malaysia
- Cement Manufacturers Association - India
- Agrawal Coal Company - India
- ASAPP Information Group - India
- Kartika Selabumi Mining - Indonesia
- Therma Luzon, Inc, Philippines
- Indogreen Group - Indonesia
- ICICI Bank Limited - India
|
| |
| |
|
