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Freeport Employees Threaten to Close Mimika Government Office

Translator

Editor

23 March 2017 12:54 WIB

ANTARA/Vembri Waluyas

TEMPO.CO, Jakarta - Scores of Freeport employees calling themselves the Gerakan Solidaritas Peduli Freeport (Freeport Solidarity Movement) have threatened to close the Mimika government office if the government fails to meet their demand.

“We will close [local] government office if the central government failed to normalize Freeport [operations] within 120-day deadline,” said Mikhael Adii, the protesters’ spokesman at the Mimika government office on Thursday.

He claimed that Freeport Indonesia and its employees have provided a significant contribution to the central and local government by establishing the Mimika government office, among others.

They also expressed their disappointment at Mimika Regent’s failure to convey the protesters’ demand at the first demonstration held on February 17 at Mimika government office.

“We are disappointed with the Regent. He went alone to Jakarta and fought for his own interest, asking for shares…” he noted.

Protesters, comprising Freeport employees and their families, gave speeches for roughly 30 minutes before heading toward Timika Indah roundabout by cars and motorcycles in attendance of police.

PT Freeport Indonesia has halted its exports of copper concentrates, gold and silver since January 12, 2017, after the government bans the activity.

The government has told Freeport to switch over its Contract of Work (COW) signed in 1991 to a special mining business permit (IUPK).

The mandatory switch over from COW to IUPK under Law No. 4/2009 on Minerals and Coal would entail the requirement for Freeport and other mining companies to build smelting plants in Indonesia in accordance with a new tax regulation on concentrate export and change in the work area to a maximum of 25,000 hectares.

Freeport then halted operations of its Grasberg mine since it could only supply 40 percent of concentrate output to a smelting plant at PT Smelting Gresik, East Java.

Following the policy, PT Freeport and its contractors, as well as its private companies, have laid off their employees.

The government and PT Freeport Indonesia have yet to agree on the mining company’s contract extension.

ANTARA



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