Plans for smelter development exceed requirement.
Mineral and coal director general of the energy and mineral resources ministry Thamrin Sihite said after the issuance of the ministerial regulation No. 7 of 2012, the government receives a total of plans to build 126 smelters but Indonesia does not that much smelters. Some companies are suspected to have submitted the proposals to build smelters only as a trick to be allowed to continue exports of mineral ores. The government has not given the real number of smelters needed by the country at present. It has to be based on material balance or reserves, natural resources and mineral production all over Indonesia. The government is still studying the 126 plans. In the future, development of smelters would be made in clusters of mineral reserves. Mineral ore producers are still allowed to export ores with recommendation from the energy and mineral resources ministry. Under the ministerial regulation 11/2012, mining companies could exports ores with recommendation from the mineral and coal director general. Recommendation is granted if the company meet four requirements first, having clean and clear status holding mining business license; second fully paying obligations to the state; third, submitting working plan and or cooperation plan in the processing of ore and or refining of ores in the country; fourth, signing integrity pact. The government has issued recommendations for 30 companies already meeting the requirements. Based on data at the energy and mineral resources ministry, by 21 May, 2012, the government already received 157 plans to build smelters in Indonesia.
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|Title Annotation:||ECONOMIC NEWS IN BRIEF|
|Comment:||Plans for smelter development exceed requirement.(ECONOMIC NEWS IN BRIEF)|
|Publication:||Indonesian Commercial Newsletter|
|Article Type:||Brief article|
|Date:||May 1, 2012|
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