Release

PT Central Omega Resources Tbk, Receives Recommendation of Export Permit for Low Grade Nickel Ore from Ministry of Energy and Mineral Resources

Aug 25, 2017

PT Central Omega Resources Tbk (DKFT) is announcing that the Company through its subsidiary PT Mulia Pacific Resources will soon be exporting low grade nickel ore.

The export is in line with the acceptance of the export recommendation for mineral ore from the Ministry of Energy and Mineral Resources (ESDM) amounting to 700,000 Wet Metric Tons (WMT) per year.

Recommendation given by the Energy Ministry is in accordance with Regulation of Minister of Energy and Mineral Resources Number 35 Year 2017 on Amendment of Regulation of Minister of Energy and Mineral Resources Number 5 Year 2017 on Procedures and Requirements of Recommendations for Implementation of Overseas Mineral Resulted from Processing and Purification.

Director of Operations at Central Omega Kurniadi Atmosasmito explained that the company is currently awaiting the recommendation on low grade nickel ore export license for another subsidiary, PT Itamatra Nusantara, which is still being administrated at Energy Ministry.

"The shipment of nickel ore exports will begin in September 2017," he said in a written statement on Friday (8/25/2017).

According to him, with the export recommendation of mineral ore from the Ministry of Energy and Mineral Resources, the company has an opportunity to book revenues from the mining sector.

"Of course with the re-existence of this export activity it will be able to contribute economically to the Government and foster economic activities of communities around the mine site," he added.

The two subsidiaries also supply nickel ore for the Company's smelter needs. In the case of the downstream program of nickel mining products, the company through its Subsidiary, PT COR lndustri Indonesia, has started producing ferronickel (FeNi) since March 2017.

From the smelter in July 2017 prime exports of 7,000 tons of FeNi have been commenced to China. "In the near future, the company will again conduct the second shipment of FeNi products to China," he concluded.