Search Alternatives, Sudirman Said Defend Interest of Freeport

Jakarta, Aktual.com-Minister of Energy and Mineral Resources (ESDM) Sudirman Said continually strive to find ways to accommodate the demand for relief filed by PT Freeport that the government did not ask a bail of USD530 million for smelter construction as a requirement of export of concentrates.

According to him, which is really mandatory for Freeport as a requirement of export of concentrate is in the form of export duty for 5 percent.

“We already provide the requirements, it is most duties required which have to pay,” said Minister Sudirman Said at Kartini Hall. Jakarta, Tuesday (2/2).

Furthermore, he explained the construction of the smelter bail amounting to USD530 million, Freeport ask for a delay or other relief.

“Regarding deposit USD530 million, we are well aware that market situation was not favorable for Freeport, therefore they were asking if it delays or other like relief,” said Sudirman.

Thus the government is trying hard to find an alternative that is equivalent to the requirement to accommodate the wishes of Freeport.

“In principle, the government’s task was to facilitate economic activity goes well, we did not have attention to drop out any business activities include Freeport,” he concluded.

As we know that the obligation to build the smelter is the implementation of the orders of Law number 4 of 2009 in order do the purification of the mineral products in an effort to give add value to the country, thus not allowed to export concentrates or raw materials.

In accordance content of Law number 4 of 2009 Article 170 reads “Holders of contracts of work referred to in Article 169, which are already in production are required to do purification as referred to in Article 103 paragraph (1) at the latest 5 (five) years since the Act was enacted”.

That is, since the Act was set in 2009, was supposed Freeport has fulfilled the order law and build a smelter in refining mineral products, no later than 2014.

But until now the builders smelter has not demonstrated sufficient progress and Freeport is lobbying with the government.

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