Revoking Lawsuit Against Minister Of Investment/Head Of BKPM, Five Subsidiaries Of Bayan Resources Owned By Conglomerate Low Tuck Kwong Continue Operational Licensing

JAKARTA - Five subsidiaries of PT Bayan Resources Tbk resumed the licensing process for operational activities that had been hampered so far. This is in line with the revocation of the lawsuit to the Minister of Investment/Head of BKPM Bahlil Lahadalia.

The five Bayan subsidiaries include PT Bara Sejati, PT Cahaya Alam, PT Dermaga Energi, PT Orkida Makmur, and PT Sumber Api.

This certainty was stated in a letter signed by Bayan Resources President Director Dato Low Tuck Kwong to the Indonesia Stock Exchange, Wednesday 27 July.

The letter explained that the five subsidiaries owned directly and indirectly through Kangaroo Resources Pty Ltd had received a copy of the decision from the Jakarta State Administrative Court (PTUN) on July 26, which stipulates the request for revocation of the lawsuit to the Minister of Investment/Head of BKPM.

For information, the lawsuit of five Bayan subsidiaries is related to the downsizing and approval of the adjustment of the mining business license (IUP) at the exploration activity stage and the production operation stage for coal commodities (BKPM decision letter).

The reason for the revocation of the lawsuit is because Bayan's five subsidiaries have received written confirmation from the competent government agency regarding the duration of the IUP for the exploration and production operations stages. As a result, the term of Bayan's five subsidiaries did not experience a reduction and was in accordance with the calculation period of each company.

In addition, the reduction in the area of the mining business permits (WIUP) of the five subsidiaries did not have a material impact on the coal reserves and business continuity of Bayan Resources.