Industrial History of Amman Mineral Nusa Tenggara

Industrial History of Amman Mineral Nusa Tenggara

PT Amman Mineral Nusa Tenggara (AMNT) is a national company that was initially a foreign company, namely PT. Newmont Nusa Tenggara (PT NNT). PT NNT is one of the companies in Indonesia under the Newmont Mining Corporation (NMC) based in Denver, Colorado, United States of America. NMC was founded on May 2, 1921, in New York, the United States, by Colonel William Boyce Thompson.

PT NNT is an Indonesian joint venture company owned by the Nusa Tenggara Partnership (Newmont & Sumitomo), PT Pukuafu Indah (Indonesia), and PT Multi Daerah Bersaing, Newmont and Sumitomo acting as the operator of PT NNT. Distribution of shares of PT. Newmont Nusa Tenggara can be seen in the following picture.

On December 2, 1986, PT NNT signed a contract of work with the Indonesian Government to conduct mineral exploration within the Contract of Work area in West Nusa Tenggara (NTB). PT NNT discovered the Copper deposit in 1990, which was later named Batu Hijau. After the discovery, who carried out a technical and environmental assessment for six years. The Government approved the study of Indonesia in 1996. It became the basis for the construction of the Green Mining Project with a total investment of US$ 1.8 billion. The mine, factory, and infrastructure development projects were completed in 1999 and started in March 2000.

Following the Contract of Work provisions, PT NNT annually pays taxes, royalties, and non-taxes to the Government of Indonesia in the trillions of rupiah. From 1997 to mid-2012, PT NNT has paid taxes, royalties, and non-taxes of more than Rp. 60 trillion. This revenue is managed by the Central Government, provincial governments, and districts to develop Indonesia.

New era of Amman Mineral

In November 2016, PT Medco Energi International Tbk. (MEDCO) completed the acquisition of PT. Newmont Nusa Tenggara (PT NNT). Figure 2.2 shows the share distribution of PT. Amman Minerals Nusa Tenggara. PT AMNT share ownership and other related assets are now wholly owned by national companies, namely PT Amman Mineral Internasional (AMI), which controls 82.2% share ownership, and PT Pukuafu Indah (PTPI) as 17.8 shareholders. AMI is an Indonesian company whose shareholders are AP Investment and Medco Energi. In the process of buying this share. AMI is supported by a consortium of Indonesian and international banking companies in the process of purchasing this share.

The Batu Hijau mine currently employs more than 4,000 workers and 3,000 contract workers. More than 64% came from the province of NTB. Employees at Batu Hiau have ongoing opportunities to participate in skills-building training as needed. This training provides direct economic benefits for the province of NTB. It enhances the skills and capabilities of local communities in a range of skills that are exceptionally used in the modern mining industry. In Batu Hijau, PT AMNT has implemented a local purchasing program (Prakarsa Usaha Lokal) to improve regional business development.