Indonesian state-owned nickel producer PT Aneka Tambang (ANTM.JK) is likely to be allowed to buy a stake in Newmont Mining Corp.'s (NEM) local operations, probably together with a government investment body, the minister for state companies said late Monday.

"We are ready to buy (the stake) with a consortium formed by Antam," Sofyan Djalil, Minister for State Owned Enterprises Affairs, told reporters.

He said the Government Investment Centre, or PIP, may partner Antam in the deal, and the government hopes to make a final decision on the purchase of the unit by Friday.

The central government or its designee may this year buy as much as 14% of PT Newmont Nusa Tenggara, or PTNNT. The 14% comprises stakes in PTNNT that were due to be sold to local buyers between 2007 and this year.

Divestiture of stakes in PTNNT in the previous years had been delayed due to problems with the negotiating process.

-By Linda Silaen, Dow Jones Newswires; 62 21 3983 1277; Reuben.Carder@dowjones.com