Freeport, Amman Meets Gov’t to Discuss Concentrate Exports
Bambang Gatot Ariyono, director general of mining and coal at the Energy and Mineral Resources Ministry, held a meeting with PT Freeport Indonesia and PT Amman Mineral to discuss recently issued Government Regulation No. 1/2007 on mineral and coal mining businesses.
“We will discuss the bill on mineral and coal that was issued yesterday,” Gatot said before the meeting at his office on Friday, January 13, 2017.
One of the provisions set forth in the new bill is related to permit for miners to export concentrates. Contract work holders will be allowed to export concentrates only if they obtained a Special Mining Business License (IUPK). In addition, contract work holders are required to build smelters which are subjects to an evaluation once in six months.
Another requirement to be fulfilled by miners to be able to export concentrates is share divestment. The government is entitled to own 51 percent of shares.
The issuance of the new bill has banned concentrate exports by contract holders, unless the companies refined and processed minerals domestically.