ID :
57881
Tue, 04/28/2009 - 08:18
Auther :
Shortlink :
https://www.oananews.org//node/57881
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ALLEGED VALUE OF NEWMONT ASSETS EXAGGERATED : OBSERVER
Jakarta, April 27 (ANTARA) - Mining observer Pri Agung Rakhamanto said PT Newmont Nusa Tenggara (NNT) shareholders' claim the company's assets were worth US$4.9 billion was exaggerated.
"The value of NNT assets is not that high," Rakhmanto who is also executive director of ReforMiner Institute, said here on Monday.
He said that based on the annual report of NNT in 2008, the value of total assets of Newmont Mining Corporation (NMC) --the holding company of NNT-- was only US$15.839 billion. The value of NMC's assets in Indonesia, including that of NNT and PT Newmont Minahasa Raya (NMR), is about 17 percent (of the US$15.839 billion).
"With that reference, the combined value of NNT and NMR's assets is only about US$2.693 billion," Rakhmanto said. He also said that it was also possible for the government to negotiate the divestment price of NNT stake for 2006 and 2007 because the agreement already reached had not yet been executed.
Besides, the party who will buy the 10 percent of NNT's shares is not yet clear. "So, the government should renegotiate it," he added.
Previously, NNT has held an expose in which it explained the value of its assets in front of the divestment price team formed by the government.
The divestment price team is composed of personnel from the Ministry of Energy and Mineral Resources, the Development and Financial Supervisory Board (BPKP) and the Capital Investment Coordinating Board (BKPM).
With assets worth US$4.9 billion, the price of seven percent of the stake in the divestment of the firm in 2009 would be US$348 million, or similar to the amount offered previously.
An international arbitration court on March 31, 2009, ruled Newmont must sell a mandatory 17 percent stake in PT Newmont Nusa Tenggara (NTT) to the government within 180 days.***
"The value of NNT assets is not that high," Rakhmanto who is also executive director of ReforMiner Institute, said here on Monday.
He said that based on the annual report of NNT in 2008, the value of total assets of Newmont Mining Corporation (NMC) --the holding company of NNT-- was only US$15.839 billion. The value of NMC's assets in Indonesia, including that of NNT and PT Newmont Minahasa Raya (NMR), is about 17 percent (of the US$15.839 billion).
"With that reference, the combined value of NNT and NMR's assets is only about US$2.693 billion," Rakhmanto said. He also said that it was also possible for the government to negotiate the divestment price of NNT stake for 2006 and 2007 because the agreement already reached had not yet been executed.
Besides, the party who will buy the 10 percent of NNT's shares is not yet clear. "So, the government should renegotiate it," he added.
Previously, NNT has held an expose in which it explained the value of its assets in front of the divestment price team formed by the government.
The divestment price team is composed of personnel from the Ministry of Energy and Mineral Resources, the Development and Financial Supervisory Board (BPKP) and the Capital Investment Coordinating Board (BKPM).
With assets worth US$4.9 billion, the price of seven percent of the stake in the divestment of the firm in 2009 would be US$348 million, or similar to the amount offered previously.
An international arbitration court on March 31, 2009, ruled Newmont must sell a mandatory 17 percent stake in PT Newmont Nusa Tenggara (NTT) to the government within 180 days.***
