Rothschild Resigns from Bumi Board

Bumi Resources mined 65.9 million mt of coal in 2011. (Photo courtesy of Bumi plc)
Mining and energy financier Nathaniel Rothschild, one of the founders of Bumi plc, which owns 29% of Bumi Re-sources, resigned from the company’s board, saying he had lost confidence in the chairman and the board. Bumi Resources is Indonesia’s largest coal pro-ducer. Bumi plc has suffered several set-backs in the last year, which has led to an investigation into alleged irregularities.

Rothschild’s move was spurred by a proposal from the Bakrie family, who offered $1.2 billion for Bumi’s Indone-sian coal assets. Rothschild explained it would be a disgrace to proceed with, or even to entertain, the proposal by the Bakries before the investigation is com-pleted. He questioned the board’s loyalty to minority shareholders.

In 2011, Bumi Resources mined 65.9 million metric tons. Its primary sub-sidiaries are Kaltim Prima Coal (KPC) and Arutmin, which operate through seven primary mines: the Sangatta and Bengalon mines are operated by KPC and the Senakin, Satui, Mulia, Asam Asam and Batulicin mines are operated by Arutmin.

As featured in Womp 2012 Vol 11 -