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Freeport says it hasn't agreed on new contract scheme

Jakarta Post - February 13, 2017

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Strike ends at US miner Freeport's Indonesia site – Agence France Presse. October 10, 2016

Jakarta – PT Freeport Indonesia spokesperson Riza Patrama has said that the company has not agreed on the conversion of its contracts of work (CoW) to special mining licenses (IUPK) with the Indonesian government.

"We have not agreed because we have not seen the guarantee for investment certainty," Riza said, as reported by tempo.co on Monday.

Previously, the Indonesian government had announced that it had approved contract conversions for gold and copper miner PT Freeport Indonesia and copper producer PT Amman Mineral Nusa Tenggara, allowing them to continue exports of their partially processed minerals.

The Energy and Mineral Resources Ministry had announced that after the issuance of the IUPK, Freeport could apply for an export permit from Indonesia after exports had been prohibited pending smelter construction.

As required by a revised government regulation that has partially lifted the ban on exports of raw and partially processed minerals, the two companies have reportedly converted their CoWs into IUPKs.

Riza said Freeport would sign the IUPK issued by the government if the agreement included investment stability with legal and fiscal certainty, as the CoW had. He said such certainty was important for Freeport's long-term investments in Indonesia. (bbn)

Source: http://www.thejakartapost.com/news/2017/02/13/freeport-says-it-hasnt-agreed-on-new-contract-scheme.html.