JAKARTA -(Dow Jones)- Indonesia's government has granted approval to 50 mining and oil and gas companies to conduct exploration in several areas across the country where exploration activities were previously banned, a government official said Wednesday. ADVERTISEMENT
Sukhiyar, the secretary for the director general for geology and mineral resources of the Mines and Energy Ministry, said final approval from the parliament is still needed. He said he is optimistic the parliament will grant its approval.
The 50 companies, out of a total of 150 companies, obtained mining and oil and gas exploration licenses for several areas across the country before 1999. But in 1999, the environment ministry announced the areas were located in forests protected under a conservation program.
The 50 companies include the Indonesian unit of Freeport-McMoran Copper & Gold. Inc. , which was licensed to explore copper in two new areas outside its massive mining site in Irian Jaya; Conoco Inc. (NYSE:COP - News; COC), which was licensed to explore for oil and gas in Irian Jaya; Newmont Mining Corp. (NEM), which was licensed to explore for gold in Sumbawa and PT Aneka Tambang , which was licensed to explore for nickel in Gag island.
Sukhiyar said a government team is still studying the status of areas awarded to the other 100 companies.