Aneka Tambang clarifies

I refer to your news article German bank to finance ferronickel project on Oct. 14, 1999. The article updated the current status of PT Aneka Tambang's FeNI III Nickel Expansion Project.

I would like to clarify that the preliminary funding arrangements with German banks are progressing favorably. Aneka Tambang is pleased with the current progress being made, as the Company's Preferred Engineering, Procurement and Construction (EPC) Bidder has confirmed its willingness to include German companies within its consortium. This has, therefore, caused German banks to seek the opportunity of financing this project. However, unlike reported in the article, the funding has not yet been secured.

Second, the EPC price for the project has yet to be negotiated and as such, is not US$250 million, as reported in the article.

DOHAR SIREGAR

Corporate Secretary

PT Aneka Tambang

Jakarta