REPUBLIKA.CO.ID, JAKARTA -- SOE Minister Erick Thohir said Indonesia's move to divest PT Vale Indonesia Tbk shares strengthens the road map for downstream minerals in Indonesia.

“This is an important moment and we also see sustainability as important. Both parties agreed to continue downstream as a form of support to the government,” Erick said on Monday (26/2/2024).

Erick also explained that as the majority shareholder, the Indonesian Government has control over Vale's operations going forward. However, in order to maintain the investment climate and sustainability of operations, in the future MIND ID and Vale will joint operation in operating Vale.

“MIND ID will equally control PT Vale Indonesia because this is joint control or joint control over the corporation,” Erick said.

Regarding the board of directors, Deputy Minister of state-owned enterprises Kartika Wirjoatmodjo said that MIND ID will have the right to appoint 3 Commissioners, including the President Commissioner, as well as the President Director, and the HR Director.

“We have agreed that VCL will have a Director who manages the company's operations and is also associated with ESG, where we want VCL's ESG standards to be maintained as part of a global Good Mining Practice,” Tiko added.