The Shrinking Area Of Mining Permits Is The Reason Five Bayan Resources Subsidiaries Owned By Conglomerate Low Tuck Kwong Sue The Investment Minister

JAKARTA - The downsizing of five Mining Business Areas (WIUP) of PT Bayan Resources Tbk (BYAN), has a long tail. Five of Bayan's subsidiaries have filed a lawsuit against the Minister of Investment/head of the Investment Coordinating Board to the Jakarta State Administrative Court (PTUN).

"The lawsuit was filed on April 8, 2022," wrote Bayan's management signed by President Director Dato Low Tuck Kwong and Director Jenny Quantero, Monday, April 11.

Low Tuck explained that the lawsuit came from several Bayan subsidiaries. Among them, PT Bara Sejati, PT Cahaya Alam, PT Dermaga Energi, PT Orkida Makmur and PT Sumber Api.

"The subsidiary is owned directly and indirectly through Kangaroo Resources Pty Ltd," said the letter.

The lawsuit was filed in connection with the issuance of a Decree of the Minister of Investment/Head of BKPM concerning Downsizing and Approval for Adjustment of Mining Business Permits at the Exploration Activity stage and Production Operation Activity Stage for coal commodities against Bayan's five subsidiaries.

As a result of the letter, Bayan's five subsidiaries experienced a reduction in the area of WIUP for the production and exploration operations and the duration for the production and exploration stages.

According to Low Tuck, the five subsidiaries have not been able or have been hampered from continuing their operational activities. However, for Bayan, this condition has no impact on the company's finances.