JAKARTA (TheInsiderStories) - PT Amman Minerals International (AMI), announced that it has agreed to acquire 82.2 percent of PT Newmont Nusa Tenggara (NNT) shares from Newmont Mining Corporation and Sumitomo Corporation with value of US$2.6 billion. This is one of the largest structured finance transactions in Southeast Asia this year.
PT AMI is an Indonesia led business in the oil, mining and finance industries supported by a consortium of international and national banks including an oil & gas producer PT Medco Energi Internasional Tbk (IDX: MEDC).
Hilmi Panigoro, President MedcoEnergi said, “This acquisition will strengthen the company’s position MedcoEnergi as energy and natural resources in Indonesia’s top independent and underscores our commitment to contribute to national development. ”
Commissioner MedcoEnergi Group Muhammad Lutfi said, “This transaction is strategic, not only for MedcoEnergi Group but also due to two important precedent for Indonesia and international investors.”
He added, this transaction proves that collaboration between Indonesian companies, state-owned banks, the government, and the public can bring a solution to every problem in the country.
Second, Newmont and Sumitomo entitled to receive praise for being a new role model for international investors in the natural resources sector is very cooperative and supportive in meeting the aspirations of society.
MedcoEnergi AP Investment Group and cooperate acquire a stake in AMI with the support of three state-owned banks, namely PT Bank Mandiri Tbk (IDX: BMRI), PT Bank Negara Indonesia Tbk (IDX: BBNI) and PT Bank Rakyat Indonesia Tbk (IDX: BBRI).
Rachmat Makkasau, President Director of PTNNT said,“Through our ongoing industry leading performance, we look forward to Batu Hijau continuing to generate long-term economic development for the West Sumbawa Regency and the province of West Nusa Tenggara, as well as steady tax revenues for the local, regional and national governments.”
PT NNT owns Batu Hijau, the second-biggest copper and gold mine in Indonesia, after Freeport-McMoRan’s Grasberg asset, which has the world’s biggest gold reserves. Newmont Mining owned 31.5 percent of its Indonesian operations at the end of September last year, with other stakes held by Japanese trading house Sumitomo Corporation and local investors, according to a quarterly report.