The controversy over the operational state of the Mas Sangihe mine is not yet over

Bisnis.comJAKARTA — Island residents Sangihé managed to stop PT’s planned gold mining Mine Mas Sangihe. Citizen success begins with decision Supreme Court (MA) which rejected the appeal of the Minister of Energy and Mineral Resources (DME).

The Supreme Court’s decision was later followed by the Ministry of Energy and Mineral Resources in revoking the company’s operating permit on September 8, 2023. However, PT TMS claims that the company still holds a permit valid, in particular in the form of an employment contract.

Tambang Mas Sangihe is a company holding a 6th generation employment contract and has been carrying out exploration activities since 1997. On October 15, 2019, this company obtained the technical-economic approval of the feasibility study document of the General Directorate of Minerals and Coal.

Based on the techno-economic and environmental approval of the North Sulawesi Provincial Government, PT TMS moved into production operations on January 29, 2021.

The revocation of PT TMS’ operating permit is provided for in the Decree of the Minister of Energy and Mineral Resources No. 13.K/MB.04/DJB.M/2023. The Ministerial Decree (SK) was issued approximately eight months after the Supreme Court (MA) Decision No. 650 K/TUN/2022 of January 12, 2023.

A court decision that has permanent legal force, i.e. ink This essentially rejected the appeal of the Minister of Energy and Mineral Resources and PT TMS regarding the monitoring of the company’s operating permit.

Accordingly, based on the decree of the Minister of Energy and Mineral Resources, PT TMS is prohibited from carrying out production operations that include construction, mining, processing and/or refining, as well as transportation and sales.

“PT Tambang Mas Sangihe is required to fulfill all obligations that have not been fulfilled based on the provisions of the statutory regulations at the time of issuance of this ministerial decree,” the ministerial decree said. BusinessSunday (9/17/2023).

However, the information collected Business revealed that the ministerial decree only revoked the operating license of PT TMS. In the meantime, the company’s employment contract is still valid and the company can therefore reapply for the revoked permit to the Ministry of Energy and Mineral Resources.

Minister of Energy and Mineral Resources Arifin Tasrif also stressed that his party had decided to comply with the Supreme Court’s decision. “We took it [keputusan]“We decided to follow what was decided by the Supreme Court,” he said during a meeting at the Ministry of Energy and Mineral Resources, Friday (15/9/2023).

Next steps of TMS PT

Exactly one month before the publication of the decree of the Minister of Energy and Mineral Resources No. 13.K/MB.04/DJB.M/2023, Friday (9/8/2023), PT TMS has just announced the signing a new contract with CV. Mahamu Besar Sejahtera to mine and produce gold on Sangihe Island.

Reported on the official website New gold, the parent company of PT TMS, the contract signed with CV Mahamu Great Sejahtera involves carrying out operations and production on a 65 hectare (ha) gold mining area in stages. The value of the signed contract was 670,000 Canadian dollars, equivalent to approximately IDR 7.5 billion.

Baru Gold said in the statement that PT TMS is licensed and legally authorized to operate, employ contractors and produce gold on Sangihe Island. They also declared their commitment to respect the rules of applicable environmental permits.

Rico Pandeirot, Senior Legal Advisor of PT TMS, explained that the signing of the new contract with CV Mahamu Besar Sejahtera was carried out before the Minister of Energy and Mineral Resources issued the revocation of the operating permit. Referring to the information on the official website of Baru Gold, the new contract was signed on August 4, 2023.

Rico explained that currently the company is resubmitting its application for approval of an operating permit by supplementing the existing requirements. During the permit application, he said, the company would temporarily cease operations on Sangihe Island.

“That we can still carry out activities to maintain the concession area and assets in Sangihe,” he explained in Bisnis, Sunday (17/9/2023).

Holder of an employment contract

Rico also emphasized that PT TMS still holds the Labor Contract (KK) with the government. As for the Supreme Court’s decision in favor of Sangihe residents earlier this year, he continued, it only canceled the approval for the increase in the activity stage of production operation or one of the stages of the contract.

“So we still have a valid permit because it’s not a canceled contract,” he said.

As reported by Minerba One Data Indonesia, PT TMS is registered as having a business activity permit number based on the Decree of the Minister of Energy and Mineral Resources No. 163.K/MB.04/DJB/2021 .

PT TMS is registered as operating a 42,000 ha gold mining area, with a valid permit date of January 29, 2021 to January 28, 2054.

According to Bisnis archives, the dispute with PT TMS began with the steps taken by a number of residents of Sangihe Island to challenge the decision of the Minister of Energy and Mineral Resources to grant the company an operating permit.

The trial was recorded by Elbi Pieter, Wednesday (23/6/2021), one of the residents of Sangihe who is categorical in rejecting the mining project.

According to him, mining on any of the outer islands will only harm the ecosystem. This rejection was also conveyed some time ago by the late Deputy Regent of Sangihe, North Sulawesi, Helmud Hontong, to the Ministry of Energy and Mineral Resources.

Initially, the residents’ lawsuit was dismissed by the court of first instance, namely the Jakarta PTUN. Subsequently, the residents appealed, the decision of which was granted by the Jakarta State High Administrative Court (PTPTUN).

One of the contents of the appeal decision is the reversal of the decision of the Jakarta PTUN. “I have received the appeal request from Appellant I and Appellant II. To annul the decision of the Jakarta State Administrative Court number 146/G/2021/PTUN.JKT dated April 20, 2022 which it is requested to appeal.”

To make a long story short, the Minister of Energy and Mineral Resources and PT TMS filed an appeal in the Supreme Court. However, the appeal was rejected by the Supreme Court and the decision was upheld by the court of second instance.

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Vince Corbyn

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