• The area of the mining area; and • The utilization of land and building in the area where the contractor
constructs facilities for its mining operations. - Levies, taxes, charges and duties imposed by Regional Governments in
Indonesia, which have been approved by the Central Government. - General administrative fees and charges for facilities or services
rendered and particular rights granted by the Government to the extent that such fees and charges have been approved by the Central
Government - Duties on the transfer of ownership for motor vehicles and ships or sea
transportation. - Capital goods and materials, imported by private Contractor Company
within the context of the Agreement, are exempted from import Duty, Import Levies and Duty of Ownership Transfer according to the
prevailing legislative rules. - Allocating appropriate amount of fund in certain Bank, which have
been approved by the Government as Mining Reclamation Bond, since it’s commencing up to decommissioning.
1.1.2. Mining Method
In principle, mining is classified into two main categories namely surface mining and underground mining. Implementations of these methods rely on the
occurrences of mineral deposit, which are characteristics, kind of mineral, deposit type, position, spreading, and host-rock over-burden.
1.1.2.1. Surface Mining
Surface mining is excavation of mineral deposit at or near the surface, where the whole work is open to the atmosphere. The name is also designated by
a modifying word or phrases depending on the mineral deposit types such as the following.
a. Open-pitopen-cutopen-castopen-mine is open surface for removing
metallic-mineralsore deposit; for example Pomalaa nickel mine at South-
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East Sulawesi Province, Bintan alluminium mine at Kepulauan Riau Province, Eastberg cupper mine at Papua Province.
b. Quarry is excavation for economic-mineralsindustrial-minerals; for
example Tulungagung marble mine at East Java Province, Padalarang limestone mine at West Java Province, Karimun granite mine at
Kepulauan Riau Province. c.
Strip mine is excavation for flat or slightly oblique of coal bedseamlayer; for example Ombilin coal mine at West Sumatera, Tanjungenim coal mine
at South Sumatera, Sangata coal mine at East Kalimantan, d.
Alluvialplacer mine is excavation for alluvium deposit of sand, gravel, or talus from which some valuable mineral is extracted; for example Logas
gold mine at Riau Propince, Cilacap iron mine at Central Java Province, Martapura diamond mine at South Kalimantan Province.
e. Hydraulic mine, a placer mine worked by means of a stream of water
directed against a bank of sand, gravel, or talus; soft rock similarly worked; for example almost all of ore tin mine on the islands of Bangka-
Belitung Province.
Figure 1.1 Land management principle of back filling of a coal surface mining
method Adopted from Skelly and Loy, 1975
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1.1.2.2. Underground Mining
Underground mining is also known as a “deep” mine; it’s usually located several hundred meters beneath the earth’s surface by means of the certain
opening hole to connect to the surface. The opening hole could be employed either for main entrance, main haulage, or supporting facility way, those provide
work for material and labor transportation, ventilation, drainage. a.
Shafts, a vertical or incline opening hole. b.
Tunnel, a horizontal or gentle inclining hole through in both sides of foothill.
c. Drift a horizontal or slight inclining hole at or parallel to adjacent strike of
the mineralcoal deposit. Strike is the longest part of the deposit. d.
Adit, a horizontal or gentle inclining hole through the foothill in one side, it’s a dead end tunnel.
The broken mineral or coal as product material is removed mechanically and transferred by shuttle car or conveyor to the surface.
Figure 1.2 The underground mining method profile of an ore mining Adopted
from Microsoft
®
Encarta
®
Reference Library 2005
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1.1.2.3. Mining Supporting Facility