Inalum takeover already final

Inalum takeover already final

Dahlan Iskan. (ANTARA)

"Later PT Inalum`s management would likely be handed over to a state-owned company."
Medan, North Sumatra (ANTARA News) - State enterprises minister Dahlan Iskan said the decision to take over PT Indonesia Asahan Aluminium (Inalum) has been final and assured that the company will be in the hands of the country.

"With regard to Inalum I can assure it will go to us to be managed by ourselves," he said at a general lecture at Muhammadiyah University here on Saturday.

In reply to a question from a participant the minister said that the government has prepared Rp2 trillion this year and another Rp3 trillion next year for the takeover of the company that has so far been managed by a Japanese aluminum business consortium (NAA) whose contract is scheduled to expire in 2013.

"Later PT Inalum`s management would likely be handed over to a state-owned company," he added.

Following the conclusion of the contract for PT Inalum the agreement that 70 percent of the company`s production must be sent to Japan would no longer be effective and in connection with that re-negotiations would be made including about the price.

Regarding raw materials the minister said Indonesia actually has PT Timah that produces it but it is impossible to rely on the domestic production from Banka island.

In view of that PT Timah has bought a mine in Myanmar to assure alumina raw materials supply which would later be sent to Inalum to meet its raw materials need.