Government to Go All Out to Build Papua Provinces with Money from Freeport

http://www.globalindonesianvoices.com/18321/government-to-go-all-out-to-build-papua-provinces-with-money-from-freeport/

Government to Go All Out to Build Papua Provinces with Money from Freeport
Posted On 01 Jan 2015By : Leo Jegho0 CommentsTag: Development, Freeport, Papua


President Jokowi at Jayapura, Papua during the 2014 presidential election campaign (Photo source: Kompas.com/Wisnu Widiantoro)

.Jakarta, GIVnews.com – The Indonesian government has planned to fully utilize its revenues from copper mining giant PT Freeport Indonesia to develop the infrastructure and the economy of Papua provinces, Energy and Mineral Resources Minister Sudirman Said has said.
“Vice President Jusuf Kalla has stated that if at all possible, all development programs for Papua be covered with funds from Freeport,” Said told Detik.com on Sunday (28 Dec 2014).

Freeport Indonesia is a subsidiary under Freeport-McMoran Inc., a US copper giant. The Indonesian subsidiary has contributed staggering amounts in tax, royalty and other financial inflows to the country over the years.

In 2013, the amounts reached around US$500 million while in the 1992-2013 period they totaled US$15.2 billion.

Community development contribution is not included in the amounts, according to Freeport’s website.

Freeport McMoran Inc. founded Freeport Indonesia in 1966 and signed a long-term contract with the Indonesian government to develop and operate open-pit copper and gold mines in the Indonesian province.

Operating the Grasberg mine near Puncak Jaya, the highest mountain in Papua, Freeport Indonesia is the largest gold mine and the third largest copper mine in the world.

The company since 1973 has been the world’s largest gold miner.

Jokowi’s promises

President Joko ‘Jokowi’ Widodo, during his visit to attend a national Christmas celebration in the Papua provincial capital of Jayapura recently, said the government was planning to carry out a number of special development programs in Papua in the coming years.

He said the government is considering the possibility of building railways in the Papua provinces.  The ministry of transportation will soon carry out feasibility studies for it, Jokowi said.

The government will also build market complexes and bridges in the Papua provinces, the president added.

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