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FREEPORT STILL HAVE GIVEN THE CONCESSION ON EXPORT

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Timika, 13/1 (Jubi) – Virgo Solossa, the Board Chairman of Chemical, Energy and Mining Department of Indonesia Trade Union of Mimika Distrit, said that PT Freeport had given the opportunity for doing their exports as usual.

Solossa confirmed this in regards to answer many queries that have been created some anxiousness and confusing among the thousand of workers of PT. Freeport Indonesia. This situation was finally resolved following the approval from the Central Indonesian Government to give concessions to PT Freeport Indonesia for doing exports on raw materials to the consumer countries as usual.
“This information is part of the success of the struggle by trade union that we should be appreciated,” said Virgo Solossa, when being confirmed, in Timika on Monday (13/1).

Although not explained in detail, Solossa wrote that in substance, the government has issued the Government Regulation (PP) No. 1/2014 which is essentially want to avoid a massive termination of employment in the sector of mining industry. The government, he continued through his written, also seeks that the ban of export on raw materials does not obstruct the local economic development.

Previously, from the gather information compiled, the President of Indonesia, Mr. Susilo Bambang Yudhoyono, Saturday night (11/1) has signed the Government Regulation (PP) No. 01 of 2014 which is the follow up action and the implementing regulations of the Law No. 04 of 2009 on Mineral and Coal.

The Coordinator Minister of Economic, Hatta Rajasa in a Press Conference at President Yudhoyono’s private residence in Puri Cikeas, Bogor regency, after a limited cabinet meeting on Saturday night, said that this government regulation is a regulation on the implementation of the Mining Regulation that will take effect on January 12, 2014.

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“Basically this government regulations is to implement the law. And the second one, the essential of these two regulations are to improve the value added, thus since 12 January 2014 at 00:00 pm, the export in raw materials is banned in term of to process it,’ said Hatta.

Meanwhile the Minister of Energy and Mineral Resouces, Jero Wacik, stated that starting on 12 January 2014, the export on raw materials is banned. This goal is referred to the spirit of the Law No.4/2009 in order to improve the value added such as the economic value added and jobs creation. Related to this statement, Virgo Solossa considered that the government also wants the domestic mining companies that have tried to do the mineral processing can still being operated as usual.

The issuance of this Government Regulation (PP), added Virgo, will be accompanied by the issuance of Minister Regulation (Permen) by three Ministries consisting of the Ministry of Energy and Mineral Resources (ESDM), the Ministry of Finance, and the Ministry for Trade of the Republic of Indonesia, as described also in the State Gazette No. 5489 Dated 11 January 2014 about this Government Regulation (PP).

Thousands of workers of PT. Freeport are welcoming this information, added Virgo, while still hoping that the company will remain to seriously concern on the company’s obligation for implementing the Mining Regulation. Among the most important and urgent is immediately to build a smelter in domestic area. Regulation No 01 of 2014 will be followed by the Regulation of the Minister of Energy and Mineral Resources, the Regulation of the Minister of Industry and the Regulation of the Minister of Finance to manage the operational matters in the field. (Jubi/Eveerth/P. Maizier)

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