Inalum Acknowledge Freeport Indonesia Divestment Negotiation Process is the Hardest

INDUSTRY.co.id - Jakarta - President Director Inalum Budi Gunadi Sadikin acknowledged that the Freeport Indonesia divestment negotiation process is one of the most difficult to handle.

Budi explained that during a banker's career of about 25 years, the negotiation was one of the most tough. But until now the process has been much progress, and still goes according to the original plan.

"One of the things that makes it difficult is the presence of Rio Tinto's participating interest in Freeport, which is 40 percent," Budi said in Jakarta, Monday (4/6/2018).

Earlier, SOE Minister Rini Soemarno said that the purchase of Rio Tinto's Participation Interest (PI) in PT Freeport Indonesia is now finalizing.

"Yesterday, we talked with Pak Budi (President Director of PT Inalum Budi Gunadi) because we are still finalizing the signing of 'Head of Agreement'," said Minister Rini.

He admitted that he has not been able to talk much about the acquisition of PTFI shares, but he is optimistic that the completion of the acquisition process targeted in June 2018 will be achieved. "Insha Allah can still be achieved in this June," he said as well.

Rio Tinto reportedly sold its participating rights at the Freeport Indonesia Grasberg mine (PTFI) to PT Inalum worth 3.5 billion US dollars.

However, Rini himself is still reluctant to comment on the news. "Kan I said later if we have signature 'head of agreement' can only talk," he said.