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Lapindo Brantas changes hands, but questions linger [Indonesia]

Author: Jakarta Post, Published on: 16 November 2006

...PT Energi Mega Persada (EMP) says it has sold PT Lapindo Brantas Inc., its unit that operates the gas well that caused the massive mud eruption in East Java... EMP, an affiliate of a company controlled by the family of Coordinating Minister for People's Welfare Aburizal Bakrie, signed an agreement on Nov. 14 to sell its shares...to Freehold Group... EMP did not provide any...details about Freehold Group's approach to accepting responsibility...for the costs of coping with the mud disaster. The company only said that Lapindo Brantas would be supported by Minarak Labuan..., another affiliate of the Bakrie Group, in tackling the mudflow... Lapindo Brantas owns half of the Sidoarjo gas well, while PT Medco Energi Internasional and Australia's Santos Ltd. own 32 percent and 18 percent respectively... EMP [also] said Lapindo was ready to face a lawsuit filed by Medco... In its action,...Medco is...demanding that it be exempted from any obligation to compensate the victims of the disaster. [also refers to PT Bumi Resources]

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Related companies: Bumi Resources Energi Mega Persada MedcoEnergi Santos