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Freeport violated Government Regulation: Minister Sonny

| Source: JP

Freeport violated Government Regulation: Minister Sonny

JAKARTA (JP): State Minister of the Environment Sonny Keraf
announced mining firm PT Freeport Indonesia misled the public in
recent advertisements by not revealing the full results of its
environmental audit.

The audit was conducted by independent international
environmental engineering firm Montgomery Watson last year, and
Freeport printed the results of the audit in numerous
publications on Jan. 20 this year.

However, the company only printed those results which were
favorable to the company, which operates in Grasberg, Irian Jaya,
Sonny said during a media conference in his office here on
Thursday.

The "negative issues", the minister said, were not published,
so the people, who have the right to know the truth, received
misleading information about the company.

"It (the ad) was not in line with the complete report of the
audit results and the realities in the field," he said.

According to Sonny, Freeport has the right to conduct
voluntarily environmental audits, but they do not have the right
to mislead the public.

"Whoever they choose to do the audit is no problem. But once
they decide to publish the result, the information must be true,"
he said.

He said his office, through a joint verification team, would
"verify" the matter and "discuss" it with Freeport.

When asked to comment, Freeport's senior corporate
communications manager, Siddharta Moersjid, said on Friday:
"We're examining the case right now."

Sonny's office said at least 10 points in the advertisement
published by Freeport needed verifying. These include a statement
that all of Freeport's activities in Irian Jaya meet national and
international mining standards.

This statement contradicts findings made by the Environmental
Impact Management Agency earlier this year, the minister said.

According to this earlier report, the liquid tailing waste
discharged in Aghawagon River and Wanagon River at Freeport's
mining site have exceeded industry standards.

The Total Suspended Solid value in the river has reached more
than 400 milligrams per liter. As a comparison, allowable mining
discharge in the United States is 30 milligrams per liter, the
state minister's office said.

The findings also showed Freeport violated Government
Regulation No. 18/1999 by not conducting waste characteristic
tests.

Several recommendations from Montgomery Watson to improve
Freeport's environmental management system also were not revealed
in the advertisement.

Montgomery Watson recommended Freeport conduct a comprehensive
groundwater study and monitoring, and increase biological
monitoring of estuaries downstream of the tailings deposit area
to gauge the impact upon mollusks.

The company also suggested Freeport modify and update its
mining closure plan for the entire project area, including the
tailings deposit area.

Freeport, an affiliate of New Orleans-based Freeport-McMoRan
Copper & Gold, has long been accused of environmental degradation
around its mining site in Irian Jaya.

A deputy of environmental management at the Office of the
State Minister of the Environment, Masnellyanti Hilman, said on
Thursday the ministry expected Freeport to submit a report
verifying the matter, as well as an environment management and
monitoring plan.

"They have promised to send it to us in several weeks," she
said.

According to Masnellyanti, the state minister has asked the
company to re-review its waste management system.

"We asked them to manage the mining acid water from the
overburden as it is a dangerous and toxic," she said,

But Masnellyanti insisted her office had no plan to take the
company to the court.

"But I'm afraid that if they ignore the verification and do
not manage the waste properly, we will hand out administrative
sanctions."(09)

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