Indonesia's Medco Energi owner Arifin Panigoro eyeing 76% stake in Newmont unit

JAKARTA: The owner of Indonesia's Medco Energi Internasional, Arifin Panigoro, is seeking government approval to acquire a 76 percent stake in the Indonesian unit of Newmont Mining Corp, resources minister Rizal Ramli was quoted on Wednesday as saying.

"There is an opportunity, and it is in Newmont's copper and gold mine, which is currently controlled by Newmont America and Sumitomo and there is an Indonesian partner, the Merukh family, and others," Ramli told the Kompas.com domestic news portal.

The stake was valued at $2.2 billion by Panigoro, who was looking to diversify his investments amid declining oil prices, Ramli said.

A spokesman from Ramli's office confirmed his comments to Kompas.com and said that Panigoro had expressed an interest in buying the Newmont stake.

Outgoing Medco CEO Lukman Mahfoedz could not confirm the report. A spokesman for Newmont in Indonesia did not respond immediately to requests for comment on the matter.