Freeport-McMoRan Inc. disagrees with the Indonesian government's valuation of a 41.64% stake in the giant Grasberg copper and gold mine that the U.S. company has to sell to Indonesia.
Freeport values the stake at between $12 billion and $13 billion, but Jakarta values it at $4 billion, Napoleon Sawai, a spokesman for Freeport's local division PT Freeport Indonesia, said Tuesday.
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"The teams from the two parties are still in a negotiation," Mr. Sawai said, adding Freeport hoped to reach an agreement by the end of the year.
In August, Freeport said it would give up its majority stake in the mine, dropping from 90.64% to 49%.
As part of a deal with Indonesia, the company's mining permit would be extended until as long as 2041.
Indonesia already owns 9.36% stake. It has given state-owned miner PT Indonesia Asahan Aluminium the job of acquiring the 41.64% stake.
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(END) Dow Jones Newswires
December 12, 2017 03:23 ET (08:23 GMT)