Government Extends Newmont Purchase Deadline

Jakarta, Jan 31 (ANTARA) - The government has extended the deadline for the purchase of 7 percent of shares of PT Newmont Nusa Tenggara from January 31 to April 26 this year. The extension was marked by the signing of the fifth amendment between Head of the Government Investment Centre Soritaon Siregar and the representatives of Nusa Tenggara Partnership BV, Blake Rhodes and Toru Tokuhisa on Thursday. The fifth amendment was made in light of the fact that that the terms agreed upon in the amendment made on October 24, 2012, had not been fulfilled and an extension would give both parties the opportunity to fulfil their respective obligations. The new amendment came into being also because the Government Investment Centre and Nusa Tenggara Partnership BV were keen to execute a purchase of 7 percent shares, worth US$246.8 million, as per a divestment agreement made in 2011. Although the agreement was signed in May 2011, it has not been executed until now because of the audit results of Supreme Audit Board (BPK), which stated that the purchase must be approved by the Parliament. Therefore, the government had earlier applied for a six-month extension of the deadline for the Sales Purchase Agreement (SPA) � from November 2011 until May 2012. Upon its expiry, the government again requested an extension of six months. The government then submitted the matter to the Constitutional Court (MK) and awaited the Court`s decision. The Constitutional Court decided that the government should get the Parliament�s approval before executing the divestment. The court�s decision forced the government to once again request for an extension of the deadline for SPA.