Politics
Admitting Difficult Negotiations, Jokowi Believes Indonesia Can Get 61 Percent Of Freeport's Shares
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JAKARTA, KOMPAS.com – President Joko Widodo is confident that Indonesia will be able to obtain 61 percent of the shares of PT Freeport Indonesia.
Currently, the government is preparing regulations that will serve as the basis for shareholding between the Indonesian government and the United States for PT Freeport.
“We are still negotiating and preparing the regulations. But I am sure we will be able to get this figure,” he said. Jokowi while delivering a speech at the 12th Congress of the Indonesian Buddhist Students Association (Hikmahbudhi) in Ancol, North Jakarta, Thursday (3/28/2024).
Also read: RI will soon control 61 percent of Freeport shares, Jokowi: 80 percent of revenues will go to the country
Asked whether the negotiations in question were currently progressing, the Head of State confirmed this.
In addition to being difficult, the negotiations have been going on for a long time.
“Yes, the negotiations were long and difficult. It's not that difficult,” he said.
The head of state also revealed that shareholding negotiations with PT Freeport Indonesia are expected to be completed in June 2024.
The President, however, requested that the negotiations be completed as quickly as possible.
“Settlements are finalized first, then negotiations can be finalized immediately. I saw earlier, I aimed to reach June as soon as possible,” Jokowi said.
“If possible, as soon as possible, but the latest (the completion target) is June,” he stressed.
Also read: Jokowi meets Freeport CEO at Palace, discusses mining permit extension
Meanwhile, on Thursday afternoon, President Joko Widodo met with PT Freeport Indonesia (PT FI) President Director Tony Wenas, Freeport Mc Moran Inc CEO Richard Adkerson and PT Freeport Indonesia Board of Commissioners Kathleen Quirk at the Presidential Palace in Jakarta, Thursday (28/3/2024).
According to Tony Wenas, during the meeting there was a brief discussion on the extension of PT Freeport's mining permit.
Meanwhile, during his working visit to the United States, President Joko Widodo met with President Richard Adkerson at the Waldorf Astoria Hotel in Washington DC on November 13, 2023.
Jokowi was accompanied at the time by Acting Coordinating Minister of Maritime Affairs and Investment Erick Thohir.
After the meeting, Jokowi said he was happy because the 10 percent share sale project had reached the final stage.
This disinvestment is one of the conditions for the extension of PTFI's Special Mining License (IUPK) after 2041.
Through a 10 percent disinvestment, the government will become the majority shareholder with a 61 percent share, after previously holding 51 percent of the shares.
To extend the operating license, Freeport also plans to build a smelter in Fakfak regency, West Papua province.
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