Ranjan Yadav, Commodity Online
A Geneva-based international arbitration panel has ordered Newmont Mining Corporation (NYSE: NEM) pursuant to the Contract of Work with the Government of Indonesia to sell the stake it holds in PT Newmont Nusa Tenggara (“PTNNT”) as a foreign shareholder in the huge gold and copper mine, one of the world’s richest, located in West Nusa Tangara Province on Sumbawa Island.
FOLLOW COMMODITYONLINE ON TWITTER
According to the company website, the International Arbitration panel also informed that the Government holds the right to refusal pursuant to the 2008 shares.
Newmont Mining Corp. is primarily a gold producer with significant assets or operations in the United States, Australia, Peru, Indonesia, Ghana, Canada, New Zealand and Mexico.
Newmont Mining along with its foreign stake partner Nusa Tenggara Mining Corporation, an affiliate of Sumitomo Corporation of Japan have been directed by the panel to sell the stake they hold in PTNNT within 180 days, commencing from the date of decision to work with the Government Republic of Indonesia.
The process of divestiture gave birth to disputes last year pursuant to which PTNNT and the Government of Republic of Indonesia approached the international arbitration while staying fully compliant with the Contract of Work with the Government.
Newmont Mining Corporation shares traded on NYSE at 41.90; with a 52-week high of 53.77 and a 52 week low of 21.17.
