Decree of the Minister of Energy and Mineral Resources No. 1603/K/40/MEM/2003 on the Guidelines on reservation of mining areas

Article 3 form of National Horizontal Control Network (]KHN) of (l)SIWP constitutes a mining area database system con- zero order and its resolution frame. taining information on all mining areas, areas of ex- Preliminary Inquiry Permit (SIPP), KP, PKP2B, SIPD and CHAPTER IV SIPR, status of areas and general description of regional PROCEDURES FOR RESERVATION OF MINING AREAS situation. Article 7 (l)Applications for reservation of mining areas are sub- (2)SIWP as meant in paragraph (1) is implemented by ap- mitted to the Minister or governors or regents/mayors plying technolog,y of a universal geographic information in accordance with their respective scopes of authority. system (SIG). (2) Service for reservation of mining area must apply the (3) Format of data needed in SIWP is as contained in At- first application system already fulfilling requirement, tachment I to this decree. securing first priority to obtain mining area (first come first served).

Article 4 ( 1) Basic Map of Mining Areas is used as the basis for test-

Article 8 ing and mapping general mining business areas. Every application for reservation of mining area of KP, KK, PKP2b, SIPD, SIPR is submitted by using the form ( 2) The basic map of mining -areas as meant in paragraph of application as contained in Attachment II to this decree. ( 1) constitutes a digital map of SIWP referring to the landscape/topographic map and numbering system of

Article 9 national map sheets in an adequate scale. ( 1) Minister or governor or regent/mayor in accordance with their respective scopes of authority after receiving the

Article 5 applications as meant in Article 8 gives up evidence of ( 1) Mining areas must be restricted by lines parallel to lati- receipt of application for reservation of mining areas to tude and longitude with a denominator of one tenth sec- ond (0.1") as well as using a geographic coordinate sys- applicants with a copy made available to: tem. a. the minister, in the case of the area requested for reservation being located in inter-provincial region (2) Maps of mining areas must describe borders and size of and sea territory outside 12 nautical miles; mining areas, administrative location, date of issuance b. governor, in the case of the area requested for res- of map, kind of licensing/model of agreement, informa- ervation being located in inter-regency/city region tion on status of land as well as accompanied by list of and sea territory outside one-third and sea border coordinate of regional borders. of provincial region; c. regent and mayor in the case of the are requested (3)The regional situation mentioned in the basic map of for reservation being located in regency/city and mining area and maps of mining areas constitutes a sea territory up to one third of the sea border of general description of areas and borders of areas in force provincial region. on the basic of the coordinates mentioned in the list of coordinates. - (2) Minister or governor or regent/mayor conveys copy of receipt of application for reservation of areas as meant

Article 6 in paragraph (1) through e-mail, facsimile or other in- ( 1) The coordinate system of mining area mapping uses Na- struments not later than 1 x 24 hours after the receipt of application for reservation ot area Is given w u,e c1f.J- plicant. quirements as meant in paragraph (1) in 5 (five) work- ing days; reservation of mining area already approved (3) Minister or governor or regent/mayor receiving the copy is declared as area free and open for other applicants. of receipt of application for reservation of area as meant in paragraph (2s must give response/opinion to the ap- CHAPTER V plication in 5 (five) working days. CONCLUSION

Article 13 ( 4) The form of receipt of application for reservation of min- The decree comes into force as from the date of ing area is as contained in Attachment III to this de- stipulation. cree. Stipulated in Jakarta

Article 10 On December 24,2003 ( 1) Minister or governor or regent/mayor in accordance with THE MINISTER OF ENERGY AND MINERAL RESOURCES their respective scopes of authority processes applica- sgd tions for reservation of mining areas as meant in Article PURNOMO YUSGIANTORO 9 on the basis of restjlt of test of the requested mining areas. ATTACHMENT I (2) In the case of overlapping in reservation of area be- DECREE OF THE MINISTER OF ENERGY AND tween minister or governor or regent/mayor, the appli- MINERAL RESOURCES cant first received and fulfilling the requirement has a NO. 1603.K/40/MEM/2003 priority right to have its legitimacy processed/recognized DATE : DECEMBER 24,2003 on the basis of the principles as meant in Article 7 para- graph (2). FORMAT OF DATA ON MINING AREA INFORMATION SYSTEM

Article 11 ( 1) Minister or governor or regent/m<'lyor in accordance with their respective scopes of authority approves or rejects No. Items of Data Remarks application for reservation of mining areas as meant in .

Article 9 · not later than 9 (nine) working days i;lS from 1. Code of region the granting of evidence of receipt of application for 2. Name of company reservation of mining areas with a copy as meant in 3. Address of company

Article 9 paragraph (1). 4. Form of company KP/KK/PKP2b/SIPD*) 5. Kind of license/contract (2)In the case of the aJ!)plication .for reservation of mining 6. No. of decision area being approved by minister or governor or regent/ 7. Starting effective from: mayor in accordance with their respective scopes of 8. Up to authority, the map of mining area as meant in Article 5 9. ·Phase of activity is given to. the applicant. 10. Size of area 11. Kind of mineral

Article 12 12. Location of mining Village/district ( 1) The applicant already securing approval of reservation 13. Regency/ city of mining area as meant in Article 11 paragraph (2} is 14. Province obliged to fulfill other requirements for obtaining KP or KK or PKP2B or SIPD or SIPR in accordance with the law in force. *) pick up as required THE MINISTER OF ENERGY AND MINERAL RESOURCES CC: sgd The Minister of Energy and Mineral Resources/Governor/ PURNOMO YUSGIANTORO Regent/ Mayor*) ATTACHMENT II Remark: DECREE OF THE MINISTER OF ENERGY AND 1. To be completed by capital letter MINERAL RESOURCES 2. *) pick up as required NO. 1603.K/40/MEM/2003 DATE : DECEMBER 24,2003 THE MINISTER OF ENERGY AND MINERAL RESOURCES sgd MINING AREA APPLICATION FORM PURNOMO YUSGIANTORO To: ATTACHMENT III Minister/Governor/Regent/Mayor DECREE OF THE MINISTER OF ENERGY AND in ..................... . MINERAL RESOURCES NO. 1603.K/40/MEM/2003 DATE : DECEMBER 24,2003 We herewith submit application for reservation of mining area with information as follows: EVIDENCE OF Full Name RECEIPT OF APPLICATION FOR RESERVATION OF AREA Occupation Company Name of company Address Location (Province/Regency/City) No. of Telephone/ Facsimile To be completed by officer New Application No. of registration Application For [ ] Mining Concession Date/month/year of registration [ ] Working Contract Time of service [ ] Cooperation Agreement on Coal Attachment to List of coordinate Mining Exploration (PKP2B) [ ] Regional Mining Licence (SIPD) Smallholder Mining Are (WPR) Longitude Latitude Notes Location Province Regency No. 0 ' " E 0 ' " N/S Mineral Applied Attachments 1. Map of area 2. List of coordinates of points of regional border We appreciate your attention. Applicant ( ....... .............. ) _ Business News 7071/11-6-2004 ATTACHMENT ..... DECREE OF THE MINISTER OF ENERGY AND MINERAL RESOURCES NO. 1603.K/40/MEM/2003 DATE : DECEMBER 24,2003 FORM DECISION OF THE MINISTER OR GOVERNOR OR REGENT/MAYOR*) NO .................... . ON APPROVAL OF RESERVATION OF MINING AREA THE MINISTER/GOVERNOR/REGENT/MAYOR Reading: Application ...................... No ................ date ..................... ; Considering: that the application for reservation of mining area has fulfilled the requirements as stipulated in the law in force; In view of: 1. Decree of the Minister of Energy and Mineral Resources No ............................... date ............ on guidelines on reservation of mining area; 2 ............ so on DECIDES: To stipulate : First: To approve reservation of mining area for minerals ................ . To ................. . Address : ................ . in the framework of obtaining KP or KPP or PKP2B or SIPD or SIPR*) The list of coordinate is enclosed. SECOND: The company must promptly fulfill the requirements and implement obligation in the period stipulated in the licensing to obtain KP or KK or PKP2B or SIPD or SIPR*) in accordance with the provisions of the laws in force. THIRD: Reservation of mining area already approved as meant in Dictum First is declared null unless the company meets the requirements and obligations as meant in Dictum Second of this decree. FOURTH: The decree comes into force as from the date of stipulation. Stipulated in ................ . On ................ . For THE MINISTER/GOVERNOR/REGENT/MAYOR *) pick up as required THE MINISTER OF ENERGY AND MINERAL RESOURCES sgd PURNOMO YUSGIANTORO --==(AL)===-- Business News 7071/11-6-2004