TDM’s Kalimantan operation accepts administrative sanction

22 Oct 2019 / 21:15 H.

PETALING JAYA: TDM Bhd’s subsidiary PT Rafi Kamajaya Abadi (PT RKA) has received and accepted an administrative sanction served by the Governor of Kalimantan Barat as a result of a recent fire.

TDM told Bursa Malaysia that PT RKA has to cease its activities in the area of about 900ha affected by the fire for three years.

PT RKA also needs to complete its fire prevention facilities and infrastructure within a period of 12 months from the date of the sanction of Oct 4, 2019.

“PT RKA must submit a monthly report to the Governor of Kalimantan Barat on the progress and improvement.”

TDM noted that PT RKA is in consultation with its solicitors to file an application to Administrative Court in Indonesia for a review of the decree.

“The company is also currently assessing the financial and operational impact on PT RKA and the group arising from the sanction.”

Last month, TDM said 1,201 hectares of land belonging to PT RKA had been affected by fire in Indonesia.

The affected areas are known as North 2 Estate at NB2 -Tapang Ria, NB3 - Kemantan, NB7 - Kancing, and NB8 – Kayan.

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