Case No.363PDT.G2007PN.JKT.PST adjudicated to reject the plaintiff’s claims. Furthermore, the Jakarta High
Court by Decision No. 608PDT2008PT.DKI, dated January 12, 2009 decided to strengthen the Central Jakarta
District Court
Decision No.363PDT.G2007PNJKT.PST
dated June 23, 2008 which were filed the appeal. This civil case has been decided at the last levelcassation
by the Supreme Court by Decision No. 1680.KPDT2009, dated March 18, 2010 rejected an appeal from the
plaintiffcassation applicant; and b. The PKP2B holders including BIB through the Association
of Coal Mining Indonesia “APBI” a
pplied for judicial review to the Supreme Court of Regulation Minister of
Finance No. 95PMK.022005, dated October 11, 2005 as amended
by Regulation
of Ministry
of Finance
No. 131PMK.0102005
dated December
23, 2005
which establishes coal as an object of export levies. The
request has been decided at the first level District Court and the last level by the Supreme Court by
Decision No.07PHUMTAHUN 2006, dated July 21, 2006 which basically won the APBI and states that the Regulation of
Minister of Finance No. 131PMK.0102005, dated December 23, 2005 declared annulled by law and ordered the
Minister of Finance to immediately revoke the regulation.
Other that the cases mentioned above, the Company and its Subsidiaries are not facing subpoena, reprimand, and not
involved in
dispute or
claim either
in court
or out of court, that is material and has no impact on business activities and operations of the Company and its
subsidiaries or subpoena, reprimand or dispute or claim against the assets or shares ownership in the Company and its
subsidiaries.
IX. BUSINESS ACTIVITIES AND PROSPECTS OF THE COMPANY AND SUBSIDIARIES
1. OVERVIEW
PT Golden Energy Mines Tbk. the Company is the parent company of several coal mining companies in Indonesia through
ownership of shares in 12 subsidiaries where 10 ten of the subsidiaries are engaged in the business of thermal coal
mining of which calories range between 5,200-6,100 kcalkg adb. The projects which are located in South Sumatra, Jambi,
South Kalimantan and Central Kalimantan cover areas of 47,500 hectares.
Based on
the Independent
Technical Report
of PT
SMG Consultants on February 2011 and March 2011 and PT Danmar
Explorindo on February 2011, in accordance with the JORC standard methodology, the Company and its subsidiaries have
more than 1.93 billion tons of thermal coal resources, with coal reserves for approximately 849 million tons. The Company
plans to continue its exploration and drilling program in 2011 to increase the amount of coal reserves.
The amount of production has increased from year to year. In 2008, the Company through its subsidiaries produced 1.3
million tons of coal. The total production increased to 1.5 million tons in 2009, 1.8 million tons in 2010 and 1.8 million
tons in the six-month period ended June 30, 2011.
The following is a summary of historical production data in the last 3 three years:
Block Product ion in Tons
Period of 6 six m ont hs Year 2011
2010 2009
2008 BIB
1,167,117 1,118,046
1,182,669 1,252,305
KIM 615,367
638,206 353,834
- TKS
53,383 8,569
- -
TOTAL 1,835,867
1,764,821 1,536,503
1,252,305
Note: KIM was acquired by the Company on May 2009.
Through the mining supervisory cooperation, the Company obtained additional coal production as much as 265 thousand
tons of coal in 2010 and 543 thousand tons of coal during the period of 6 six months ended June 30, 2011 from mining area
of TBA, a third party. Company has a long-term Sales and Purchase Agreement of coal and Mining Supervisory Cooperation
Agreement between the Company and ASC, to conduct off-take of coal and mining supervisory in the area of TBA. ASC is a third
party that has Sales and Purchase Agreement of coal with TBA. By
conducting mining
supervisory, the
total production
performance of the Company was 2.0 million tons in 2010 and 2.4 million tons in the period of 6 six months ended June
30, 2011. In the Companys financial statements, the coal produced from the mining area of TBA is recognized as coal
sales and purchase transactions.
