Vale Indonesia gets mining permit extension

As part of the extension deal, Vale Indonesia must complete the construction of refining facilities. — Bloomberg

JAKARTA: Nickel miner PT Vale Indonesia has received a special mining permit extension that ends months of uncertainty over its future operations.

The company got an operating permit extension until Dec 28, 2035, following the issuance of a special mining permit on May 13, according to a statement yesterday.

As part of the extension deal, Vale Indonesia must complete the construction of refining facilities.

The permit extension is part of a deal under which Mining Industry Indonesia, a state-owned holding company, buys an additional 14% stake in Vale Indonesia from Vale SA and Sumitomo Metal Mining Co.

The deal will make the Indonesian government the company’s largest shareholder with 34% ownership. — Bloomberg