Government Yet to Approve Freeport's Copper Concentrate Export Permit

JAKARTA, investortrust.id – The Indonesian government has yet to approve PT Freeport Indonesia’s, or PTFI, request to resume copper concentrate exports, citing regulatory considerations and the need to verify force majeure claims, Deputy Minister of Energy and Mineral Resources Yuliot Tanjung stated on Friday.

PTFI, controlled by state-owned PT Indonesia Asahan Aluminium, applied for an export permit relaxation following an operational disruption at its smelter in the Gresik Special Economic Zone, East Java, in October 2024. Yuliot explained that authorities are still evaluating the request in light of the situation.

“In considering export relaxation, we must first determine whether the situation constitutes force majeure. Such a designation must come from the relevant authorities. If this was an accident, for instance, law enforcement must establish whether it was unintentional or if there were other underlying motives affecting operations,” Yuliot said at the Energy and Mineral Resources Ministry’s office in Jakarta.

He further noted that the assessment also includes ensuring upstream mining activities are not unduly disrupted and evaluating the impact on both state and regional revenues.

Coordinated Government Review

The Coordinating Ministry for Economic Affairs has tasked the Energy and Mineral Resources Ministry and the Ministry of Trade with evaluating the circumstances surrounding Freeport's request.

“The government is coordinating efforts to assess the feasibility of allowing the export of the prepared copper concentrate stockpile,” Yuliot stated.

Under Ministerial Regulation No. 7 of 2023 on the Development of Domestic Metal Mineral Refining Facilities, Freeport’s export permit expired on December 31, 2024. Consequently, any extension requires a high-level coordination meeting and a cabinet-level restricted meeting, which must be proposed by the Coordinating Ministry for Economic Affairs.

“No decision has been made yet. The Coordinating Ministry for Economic Affairs will propose the restricted meeting,” Yuliot emphasized.