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KPC Divestment to Continue

22 July 2003 18:03 WIB

TEMPO Interactive, Jakarta:The divestment program of 20 percent of the shares in PT Kaltim Prima Coal (KPC) is to continue though the process will have to be extended. Up to now, the government has not received any request to withdraw from PT Bukit Asam, the company that has agreed to buy the shares. Minister of Energy and Mineral Resources Purnomo Yusgiantoro said that an extension to the negotiation period was needed since PT Bukit Asam needs time to meet with KPC. Perhaps two or three months will be needed, Purnomo said before attending a meeting of the privatization policy team at the Ministry of Finance in Jakarta on Tuesday (11/2). Purnomo went on to say it was the team--not the governmentthat had decided to extend the process. However, it was the government that had set the price of the shares as stated in the framework agreement. If the price is too expensive, PT Bukit Asam has an opportunity to negotiate this with KPC. (Priandono Tempo News Room)


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