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→Selling off a one-quarter stake: add details
In March 2010 BHP Billiton announced that it had entered into "binding agreements to create a new joint venture for its Indonesian Coal Project (ICP) with a subsidiary of [[PT Adaro Energy]] TBK (Adaro), which has agreed to acquire a 25 per cent interest in the ICP joint venture. The finalisation of the joint venture was subject to the agreement of the Indonesian government. BHP Billiton holds the remaining 75 per cent." BHP Billiton President Metallurgical Coal, Hubie van Dalsen, stated in the company's media release that "as we progress development, we will continue our strong commitment to the protection of the region’s outstanding biodiversity.”<ref name=JV>BHP Billiton, [http://www.bhpbilliton.com/home/investors/news/Pages/Articles/BHP%20Billiton%20Enters%20Into%20a%20Joint%20Venture%20For%20Its%20Indonesian%20Coal%20Project%20%28Maruwai%29.aspx "BHP Billiton Enters Into a Joint Venture For Its Indonesian Coal Project (Maruwai)"], Media Release, March 31, 2010.</ref> In late May 2010 BHP Billiton and Adaro announced that the joint venture agreement had been approved by the Indonesian government.<ref>BHP Billiton, [http://www.bhpbilliton.com/home/investors/news/Pages/Articles/BHP%20Billiton%20Finalises%20Joint%20Venture%20Arrangements%20for%20its%20Indonesian%20Coal%20Project.aspx "BHP Billiton Finalises Joint Venture Arrangements for its Indonesian Coal Project"], Media Release, May 27, 2010.</ref> Adaro announced that its 25% stake had cost $335 million.<ref>Adaro Energy, [http://www.adaro.com/publication/view/news-release-270510-bhp-joint-venture-english/ "Adaro Energy and BHP Billiton Finalize Joint Venture Arrangements for the Indonesian Coal Project (Muruwai)"], Media Release, May 27, 2010.</ref> At the time of the agreement, the joint venture was Adaro Energy's only metallurgical coal project.
At the time of the joint venture deal, the total resource of the IndoMet coal project was estimated at 774 million tonnes. This was based on a December 2009 statement of reserves. However, of this only 83 million tonnes was classed as a "measured resource" - the most accurate assessment of the available resource. Of this, 11 million tonnes of metallurgical and thermal coal was in the Haju deposit with only a further three million tonnes potentially possibly available but which though this had not been less well proven to a high level of confidence. (BHP Billiton provide no details on the breakdown between metallurgical coal and thermal coal). The Lampunent deposit was classed as having a measured resource of 72 million tonnes of metallurgical coal with a maximum potential resource totalling 110 million tonnes and possibly 10 million tonnes of thermal coal.<ref>BHP Billiton, [http://www.bhpbilliton.com/home/investors/news/Documents/2010/100331_Indonesian%20Coal%20Project.pdf "BHP Billiton Indonesian Coal Project - Coal Resource Statement as at 31st December 2009"], March 31, 2010.</ref>
According to Adaro Energy on June 11, 2010, just two weeks after the Indonesian government approved the joint venture deal, [[Boy Thohir]] was appointed aCommissioner and [[Chia Ah Hoo]] and [[M. Syah Indra Aman]] were appointed Directors to the existing Boards of each of the 7 concession companies that comprise the IndoMet Coal Project."<ref>Adaro Energy, [http://www.adaro.com/wp-content/uploads/2013/07/Aug-2010-Citi_Indonesia_Conference.pdf "Adaro Energy: On Track to Build a Bigger and Better Adaro Energy"], Presentation to Citi Indonesia Investor Conference, August 2010, page 4.</ref>
Even though work on the ground for the project had stalled, the company sought to use it as a political weapon against the Australian government when it was proposing a 40% resources super-tax profit. BHP Billiton's chief executive, Marius Kloppers, publicly stated that if the tax went ahead it would make the IndoMet more attractive compared to projects in the Bowen Basin in Queensland.<ref>Matt Chambers, [http://www.theaustralian.com.au/business/offshore-coal-deal-appeals-to-bhp-in-face-of-rspt/story-e6frg8zx-1225872742287 "Offshore coal deal appeals to BHP in face of RSPT"], ''The Australian'', May 29, 2010.</ref>
The following week, a Citi analyst, Clarke Wilkins, told ''The Australian'' that it could consider a tripling of the the production rate of the project is the resources super-tax went ahead. "Although the resource may appear to be a limitation, we understand the planning of BHP and Adaro is for a 15 to 20 million tonnes a year operation ... If BHP is constrained in its ability to grow in Australia through infrastructure constraints or the tax grab by the government, a more meaningful development of Murawai could be on the cards." However, Wilkins added a significant caveat. "Given that an operation of this scale would require significant investment in infrastructure (rail instead of road haulage), there would need to be further exploration success to increase the resource to justify it," he said.<ref>Matt Chambers, [http://www.theaustralian.com.au/business/bhp-billiton-eyes-indonesian-coal-upgrade/story-e6frg8zx-1225875233699 "BHP Billiton eyes Indonesian coal upgrade"], ''The Australian'', June 4, 2010.</ref>
