Japan funds RI copper mine

Japan funds RI copper mine

TOKYO (AFP): Japan's Export-Import Bank said yesterday it would join nine Japanese commercial banks in financing a copper mine project in Indonesia with loans totalling US$500 million.

"The loan for the project is expected to contribute to the economic development of Indonesia and benefit Japan through the import of copper," the bank said in a statement.

The nine commercial banks participating in providing loans are the Bank of Tokyo-Mitsubishi Ltd., Sumitomo Bank Ltd., Sakura Bank Ltd., Sumitomo Trust Banking Co. Ltd., Industrial Bank of Japan Ltd., Mitsui Trust and Banking Co. Ltd., Dai-Ichi Kangyo Bank Ltd., and Fuji Bank Ltd.

The copper mine project, scheduled to begin in 2000, is held by three companies, Japanese trading house Sumitomo Corp., U.S Newmont Gold Co., and Indonesian enterprise P.T. Pukuafu Indah, the bank said.

The three companies said average output from the project would reach 730, 000 tons of copper concentrate with plans to continue mining until 2020.

Japan ranks second in the consumption of copper with 1.5 million tons a year, the bank said. Indonesia is the second largest exporter of copper to Japan after Chile.