Freeport Share Divestment
Despite the HoA not being the definitive divestment of Freeport Indonesia’s shares, it has a certain symbolic importance in determining technical details. It is in these details that prudence and transparency are important so the divestment can be ultimately used to advance the people’s welfare.
Energy and Mineral Resources Minister Ignatius Jonan (left), Finance Minister Sri Mulyani Indrawati (second left), State-Owned Enterprises Minister Rini Soemarno (second right) and Environment and Forestry Minister Siti Nurbaya Bakar (right) witness the signing of a heads of agreement (HoA) on PT Freeport Indonesia\'s share divestment on Thursday, July 12, 2018 in Jakarta. The agreement was signed by Freeport-McMoRan president director and CEO Richard Adkerson (third left) and PT Inalum president director Budi Gunadi Sadikin (third right). Under the agreement, PT Freeport Indonesia’s special mining license (IUPK) will be extended to 2041, PT Freeport Indonesia will build a smelter and Indonesia, through PT Inalum and a joint venture between PT Inalum and the Papua government, will acquire a 51 percent stake in PT Freeport Indonesia.
A new chapter has begun in the divestment of PT Freeport Indonesia’s (PTFI) shares with the signing of a heads of agreement (HoA) between Indonesia and US mining giant Freeport-McMoRan (Freeport).
Despite the HoA not being the definitive divestment of Freeport Indonesia’s shares, it has a certain symbolic importance in determining technical details. It is in these details that prudence and transparency are important so the divestment can be ultimately used to advance the people’s welfare.