Indonesian Political, Business & Finance News

Indorayon resumes operations

| Source: JP

Indorayon resumes operations

JAKARTA (JP): Publicly listed PT Inti Indorayon Utama's pulp
and rayon mill near Lake Toba in North Sumatra resumed operations
on Thursday after almost four months of closure due to security
disturbances by protesters who accused the company of damaging
the local environment.

Indorayon's finance director David Pile confirmed that 17
trucks began hauling supplies and materials to the mill on
Wednesday under security guard surveillance. More trucks arrived
at the plant on Thursday without any disturbances.

"We have to be in operation for four to five weeks before the
government-appointed independent audit team begins its work in
our industry," Pile said.

The company was forced to stop production in early July after
local protesters blocked the main access roads to the plant,
thereby disrupting the deliveries of supplies.

But the North Sumatra governor allowed the plant to reopen
last Tuesday in preparations for the audit team to start work.

The report of the independent audit team will determine the
fate of the Indorayon plant, which has annual capacities of
240,000 tons of pulp and 60,000 tons of rayon fiber.

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