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Down to Earth No 52 February 2002


Since DTE last reported on this project in August 2001 (DTE 50), the international profile of BP's Tangguh gas development in West Papua has established it as a "test case" for putting good corporate intentions into practice. However, questions remain over how sincere BP is in carrying out its commitments. And how far external factors - like the Indonesian military - will limit the company's capacity to do so.

Down to Earth No 52 February 2002

BP currently joint owns and manages Indonesia's biggest coal mine. It has 50% of the shares in PT Kaltim Prima Coal (KPC), a massive open cast mine near Sangatta, East Kutai district, East Kalimantan province. The Anglo-Australian mining giant, Rio Tinto, owns the other 50%. KPC is currently embroiled in a power struggle with the local authorities as, under the initial agreement, this foreign-owned company must sell off 51% of its shares to Indonesian parties [1].

Down to Earth No 52, February 2002

Three of the biggest banks in the Netherlands - ABN AMRO, Rabobank and Fortis - have agreed to stop or substantially restrict financing for oil palm development in Indonesia on environmental and social grounds. This is the result of a joint campaign by the Indonesian oil palm advocacy network, Sawit Watch, Milieudefensie (Friends of the Earth NL) and Greenpeace Netherlands following the disastrous 1997/8 forest fires in which10 million hectares of forest land were burnt. Oil palm and pulp plant feeder companies were the main offenders.

Down to Earth No 50 August 2001


Preparations for BP's giant Tangguh gas project are moving ahead at a time of heightened tension in West Papua as the Indonesian military toughens its stance against 'threats to security' in the disputed territory.

The killing of five mobile brigade (Brimob) police officers and a logging company employee on 13th June, has sparked a brutal response by the Indonesian security forces in Wasior subdistrict, to the east of BP's Tangguh project in Bintuni Bay.

Down to Earth No. 48, February 2001


The recent increase in tension in West Papua, punctuated by the murder of political prisoners and the arrest of independence leaders, has not stopped the transnational companies continuing with plans to exploit the territory's natural resources.

The giant Tangguh gas fields in off the north western coast, contain an estimated 20 trillion cubic feet of gas. The British American merger BP/Amoco (BP) plans to start production in 2005 and is seeking sales contracts in China.

Down to Earth No. 48 February 2001


PT Aneka Tambang, part-owned by the Indonesian state, has appointed Tessag Ina GmbH as its contractor to build and finance its planned new ferro-nickel plant in Pomalaa, Southeast Sulawesi. Two other ferro-nickel smelters are already in operation there. Construction of the 13,000 tonnes per year facility is expected to start in the first half of 2001 and it is scheduled to start production just over two years later. Financing is expected to come partially from Germany's IKB Deutsche Industriebank AG.

Down to Earth No 48 February 2001

CIFOR researcher's body found in Aceh mass grave

A mass grave, containing 14 bodies was uncovered in Terbangan, Kluet Selatan, South Aceh in January. One has been identified as a researcher with the Centre for International Forestry Research (CIFOR) Bandung.

Three young researchers from CIFOR and a member of the Gunung Leuser national park management, disappeared in September 1999. The corpses of three women from Medan in neighbouring North Sumatra province were also found in the grave.