Tender of Vale?s former concessions to be held before year-end

By Thomas Sembiring

The government plans to offer to investors former mining concessions of IDX-listed integrated nickel firm PT Vale Indonesia Tbk via tender before the end of this year, according to a senior official.

Director General of Mineral and Coal at the Ministry of Energy and Mineral Resources Bambang Gatot Ariyono said on Tuesday that the former Vale concessions are divided into four blocks. ?This year we?ll offer four blocks of Vale?s former concessions,? he said, but did not provide further details.

PT Vale in 2014 returned more than 72,000 ha of its concessions scattered in four regencies in South Sulawesi, Central Sulawesi, and Southeast Sulawesi provinces as part of an obligation set in its revised mining contract, thus reducing the firm?s concessions from about 190,500 ha to around 118,000 ha. The ministry said in 2015, the former concessions would be assign to state-controlled mining firm PT Aneka Tambang Tbk and companies owned by local administrations.

Editing by Reiner Simanjuntak