We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Tuesday, 27 December 11
MINERS MAKE CASE FOR RESUMING CONTRACT NEGOTIATIONS - THE JAKARTA POST
The Jakarta Post reported that, problems with the renegotiation of mining contracts in the country are far from over, as agreements on several crucial issues are still yet to be found.
The government remains adamant that it will not compromise on its intention to ramp up state revenues by increasing royalties, while miners on the other hand insist that some points in the 2009 minerals and coal law are “irrational” and may create uncertainty in terms of the outcome of their investments.
The Indonesian Mining Association (IMA) revealed that renegotiations had stalled due to three major issues: the size of mining areas, state revenues and contract extensions.
In a bid to make progress on the stagnant talks between the government and miners, the association proposed solutions to the three issues based on what it saw as fair for both parties. With the proposals, it expected that deals would be made, which would foster an air of certainty in relation to operations.
On the issue of state revenues, the association claimed that it was hard for mining companies to adjust the amount of royalties to the level set by the government in the 2003 regulation on tariffs for non-tax revenues for the energy and mineral resources sector (3.75 percent of sales for gold, 3.25 percent for silver and 4 percent for copper).
“If the government wants to raise royalties, it also has to think about other financial obligations paid by companies, such as the corporate income tax, the amount of which is still 35 percent even though the 2008 law on income tax revised it to 25 percent,” said Syahrir AB, an executive director of the IMA, in Jakarta on Monday.
The government could not force mining companies to pay higher royalties without adjusting its other financial obligations because such economic burdens would reduce the profitability of their projects, he explained.
If the goal was to raise state revenues from the mining sector, he suggested that the government apply a threshold for mining companies’ profits. For example, if a company made a profit margin of more than 25 percent due to the soaring prices of commodities, the government could apply an additional tax, he added.
The second suggestion was related to the size of mining areas. The association said most mining companies needed at least 70,000 hectares to make a mining project “economical”. However, the 2009 law on minerals and coal determined that the maximum size for mineral mining was 25,000 hectares, with coal mining at 15,000 hectares.
“In our last meeting with the government, it understood our reasons. The government agreed that the size of an area granted to a company would be judged based on the long-term plan it proposed to the government,” Syahrir reported.
That model requires the Energy and Mineral Resources Ministry to have the human resources to review the plan and judge whether the size of area proposed by a company is reasonable or not. If the reviewers say that the proposal is unreasonable, the government can grant the permit for a smaller area.
The third suggestion was about the contract extension. Currently, mining companies can extend the contract by “two times 10 years”, but the authority to grant approval for the extension is in the hands of the head of regions by issuing mining permits. The association deems that the model creates uncertainty over the future of mining projects. It suggests that the contract extension clause is included into mining contracts (KK) and contracts of work (PKP2B).
The director general for minerals and coal at the Energy and Mineral Resources Ministry, Thamrin Sihite, said that out of 42 mining contract holders and 76 contracts of work, there were companies that agreed to all renegotiation points, and some that partially agreed and disagreed.
“About the suggestion in relation to the size of area, the government will review it first, if the proposal is in line with the government vision, we may approve it,” he said over the phone.
However, he reminded that renegotiations had to be looked at on case by case basis as each company had different problems.
IMA proposals:
•The implementation of a profit threshold to allow the government to tax mining companies if the latter’s profit margins exceed the threshold.
•Determine the mining area based on the profitability of each mining project. The IMA estimates that a company needs at least 70,000 hectares to make a project profitable.
•Contract extensions have to be included into mining contracts (KK) and contracts of work (PKP2B) to create certainty.
Source: The Jakarta Post
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 27 January 12
DEMOLITION ACTIVITY NEEDS TO INCREASE SIGNIFICANTLY THIS YEAR AS WELL - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
The oversupply of vessels in most shipping sectors is so intense that it’s become clear to ship owners that unless they scrap as many of their ...
Thursday, 26 January 12
ABM INVESTAMA SEALS US$100 MIO CONTRACT - INSIDER STORIES
Insider Stories reported that, PT Reswara Minergi Hartama, a subsidary of PT ABM Investama Tbk (ABMM), has sealed a 2 million tons of coal export co ...
Thursday, 26 January 12
DRY BULK MARKETS DOWNFALL KNOWS NO LIMITS - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
The dry bulk market’s demise seems to have no visible end, as China’s Lunar Year Holidays continue this week, thus leaving demand with n ...
Wednesday, 25 January 12
CLEAN AND CLEAR MINING PERMITS TO BE COMPLETED END OF 2012 - BISNIS.COM
Bisnis.com reported that, the government plans to announce 700 mining permits with "clean and clear" status without overlapping on other p ...
Tuesday, 24 January 12
ANOTHER SEVERE DROP IN THE CAPESIZE - BRS
The lunar year celebrations and the high number of new building deliveries (more than 35 Capes so far in January as owners push 2011 deliveries into ...
|
|
|
Showing 4871 to 4875 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Wood Mackenzie - Singapore
- Central Java Power - Indonesia
- SMG Consultants - Indonesia
- Kalimantan Lumbung Energi - Indonesia
- Simpson Spence & Young - Indonesia
- Mjunction Services Limited - India
- SMC Global Power, Philippines
- Gujarat Electricity Regulatory Commission - India
- Holcim Trading Pte Ltd - Singapore
- Kobexindo Tractors - Indoneisa
- Dalmia Cement Bharat India
- Baramulti Group, Indonesia
- Maheswari Brothers Coal Limited - India
- Sindya Power Generating Company Private Ltd
- Mercator Lines Limited - India
- The Treasury - Australian Government
- ICICI Bank Limited - India
- Kapuas Tunggal Persada - Indonesia
- Power Finance Corporation Ltd., India
- AsiaOL BioFuels Corp., Philippines
- Krishnapatnam Port Company Ltd. - India
- Global Business Power Corporation, Philippines
- Ceylon Electricity Board - Sri Lanka
- Jaiprakash Power Ventures ltd
- PowerSource Philippines DevCo
- Coastal Gujarat Power Limited - India
- Intertek Mineral Services - Indonesia
- Heidelberg Cement - Germany
- Aditya Birla Group - India
- Attock Cement Pakistan Limited
- Indonesian Coal Mining Association
- Cigading International Bulk Terminal - Indonesia
- Alfred C Toepfer International GmbH - Germany
- South Luzon Thermal Energy Corporation
- Africa Commodities Group - South Africa
- Indo Tambangraya Megah - Indonesia
- Ambuja Cements Ltd - India
- Central Electricity Authority - India
- Altura Mining Limited, Indonesia
- Parry Sugars Refinery, India
- Kumho Petrochemical, South Korea
- Trasteel International SA, Italy
- Australian Coal Association
- Sinarmas Energy and Mining - Indonesia
- TeaM Sual Corporation - Philippines
- Chamber of Mines of South Africa
- Salva Resources Pvt Ltd - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Wilmar Investment Holdings
- OPG Power Generation Pvt Ltd - India
- Miang Besar Coal Terminal - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Indian Oil Corporation Limited
- Ministry of Transport, Egypt
- Asmin Koalindo Tuhup - Indonesia
- Sree Jayajothi Cements Limited - India
- San Jose City I Power Corp, Philippines
- Karbindo Abesyapradhi - Indoneisa
- The State Trading Corporation of India Ltd
- Kepco SPC Power Corporation, Philippines
- Coalindo Energy - Indonesia
- Mintek Dendrill Indonesia
- Carbofer General Trading SA - India
- Toyota Tsusho Corporation, Japan
- Eastern Coal Council - USA
- Bukit Makmur.PT - Indonesia
- Georgia Ports Authority, United States
- Indian Energy Exchange, India
- Agrawal Coal Company - India
- LBH Netherlands Bv - Netherlands
- Interocean Group of Companies - India
- European Bulk Services B.V. - Netherlands
- GAC Shipping (India) Pvt Ltd
- Gujarat Mineral Development Corp Ltd - India
- Larsen & Toubro Limited - India
- Videocon Industries ltd - India
- Bangladesh Power Developement Board
- IHS Mccloskey Coal Group - USA
- Banpu Public Company Limited - Thailand
- Indika Energy - Indonesia
- VISA Power Limited - India
- Neyveli Lignite Corporation Ltd, - India
- Semirara Mining Corp, Philippines
- Global Coal Blending Company Limited - Australia
- Grasim Industreis Ltd - India
- Formosa Plastics Group - Taiwan
- Edison Trading Spa - Italy
- Petrochimia International Co. Ltd.- Taiwan
- ASAPP Information Group - India
- Posco Energy - South Korea
- Jorong Barutama Greston.PT - Indonesia
- Bayan Resources Tbk. - Indonesia
- Vedanta Resources Plc - India
- Straits Asia Resources Limited - Singapore
- Pendopo Energi Batubara - Indonesia
- Lanco Infratech Ltd - India
- Ministry of Finance - Indonesia
- Bulk Trading Sa - Switzerland
- Electricity Generating Authority of Thailand
- Offshore Bulk Terminal Pte Ltd, Singapore
- Renaissance Capital - South Africa
- Deloitte Consulting - India
- Parliament of New Zealand
- Minerals Council of Australia
- Kohat Cement Company Ltd. - Pakistan
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- The University of Queensland
- Savvy Resources Ltd - HongKong
- SN Aboitiz Power Inc, Philippines
- Borneo Indobara - Indonesia
- Bhatia International Limited - India
- Goldman Sachs - Singapore
- Globalindo Alam Lestari - Indonesia
- Gujarat Sidhee Cement - India
- Indogreen Group - Indonesia
- PTC India Limited - India
- Kartika Selabumi Mining - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- Rio Tinto Coal - Australia
- Energy Link Ltd, New Zealand
- Timah Investasi Mineral - Indoneisa
- Anglo American - United Kingdom
- Orica Australia Pty. Ltd.
- GVK Power & Infra Limited - India
- CNBM International Corporation - China
- Energy Development Corp, Philippines
- Leighton Contractors Pty Ltd - Australia
- Uttam Galva Steels Limited - India
- Directorate Of Revenue Intelligence - India
- Antam Resourcindo - Indonesia
- CIMB Investment Bank - Malaysia
- Makarim & Taira - Indonesia
- White Energy Company Limited
- Bukit Baiduri Energy - Indonesia
- Global Green Power PLC Corporation, Philippines
- India Bulls Power Limited - India
- Essar Steel Hazira Ltd - India
- Eastern Energy - Thailand
- Manunggal Multi Energi - Indonesia
- PNOC Exploration Corporation - Philippines
- Thai Mozambique Logistica
- Thiess Contractors Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Sakthi Sugars Limited - India
- Chettinad Cement Corporation Ltd - India
- Barasentosa Lestari - Indonesia
- Bhoruka Overseas - Indonesia
- Sical Logistics Limited - India
- Commonwealth Bank - Australia
- Merrill Lynch Commodities Europe
- Meenaskhi Energy Private Limited - India
- Independent Power Producers Association of India
- Ind-Barath Power Infra Limited - India
- Vizag Seaport Private Limited - India
- Metalloyd Limited - United Kingdom
- Samtan Co., Ltd - South Korea
- Jindal Steel & Power Ltd - India
- Port Waratah Coal Services - Australia
- Price Waterhouse Coopers - Russia
- Tamil Nadu electricity Board
- Tata Chemicals Ltd - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- GN Power Mariveles Coal Plant, Philippines
- Singapore Mercantile Exchange
- Mercuria Energy - Indonesia
- GMR Energy Limited - India
- Sarangani Energy Corporation, Philippines
- Ministry of Mines - Canada
- Therma Luzon, Inc, Philippines
- Siam City Cement - Thailand
- Xindia Steels Limited - India
- Cement Manufacturers Association - India
- International Coal Ventures Pvt Ltd - India
- Kideco Jaya Agung - Indonesia
- Kaltim Prima Coal - Indonesia
- Petron Corporation, Philippines
- New Zealand Coal & Carbon
- Medco Energi Mining Internasional
- Planning Commission, India
- Maharashtra Electricity Regulatory Commission - India
- PetroVietnam Power Coal Import and Supply Company
- Marubeni Corporation - India
- Oldendorff Carriers - Singapore
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Latin American Coal - Colombia
- IEA Clean Coal Centre - UK
- Coal and Oil Company - UAE
- Australian Commodity Traders Exchange
- Star Paper Mills Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Siam City Cement PLC, Thailand
- Economic Council, Georgia
- Pipit Mutiara Jaya. PT, Indonesia
- Billiton Holdings Pty Ltd - Australia
- McConnell Dowell - Australia
- Karaikal Port Pvt Ltd - India
- Madhucon Powers Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Bharathi Cement Corporation - India
- Electricity Authority, New Zealand
- Bank of Tokyo Mitsubishi UFJ Ltd
- Directorate General of MIneral and Coal - Indonesia
- Bhushan Steel Limited - India
- Malabar Cements Ltd - India
- Binh Thuan Hamico - Vietnam
- Semirara Mining and Power Corporation, Philippines
- MS Steel International - UAE
- Standard Chartered Bank - UAE
- Riau Bara Harum - Indonesia
- Orica Mining Services - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Romanian Commodities Exchange
- London Commodity Brokers - England
- Aboitiz Power Corporation - Philippines
- Meralco Power Generation, Philippines
- Sojitz Corporation - Japan
- Iligan Light & Power Inc, Philippines
|
| |
| |
|
