Malaysia Smelting Corporation said on Friday that had been advised by Indonesia’s Minister of Energy and Mineral Resources (MEMR) that a decision on an application to extend the Contract of Work for its 75%-owned subsidiary PT Koba Tin had been deferred until the end of this month. An MEMR team to study the application was set up when the CoW expired at the end of March and was originally due to report by end-June.
In a statement MSC made no comment on the latest communication, other than to state that it would make announcements to relevant exchanges (it is listed in Kuala Lumpur and Singapore) “as and when there are further developments concerning this matter.”
PT Koba Tin, in which PT Timah is a minority shareholder, produced only 1,901 tonnes of refined tin last year, down from 6,332 tonnes in 2011, and ceased production last October. MSC has written off its investment, but has a deal in place to sell a majority of its stake to a local group if a contract extension or new mining lease is granted.
