Government considers allowing bauxite ores to be exported
Saturday, October 8 2016 - 09:07 AM WIB
The paper quoted Secretary General of the Ministry of Energy and Mineral Resources Teguh Pamuji as saying that that bauxite ores will be allowed for export amid limited capacity of domestic smelters.
He pointed out that so far, only IDX-listed mining firm PT Aneka Tambang Tbk and PT Well Harvest Winning Alumina Refinery can process bauxite ores into smelter grade alumina.
Interim Minister of Energy and Mineral Resources Luhut Panjaitan as saying that the ministry is considering to allow the export of nickel ores with purity of less than 1.8 percent as it can?t be processed at domestic smelters.
The government is currently finalizing a revision of Government Regulation No 1/2014, which would allow mineral ore concentrates such copper concentrates produced by giants including PT Freeport Indonesia and PT Newmont Nusa Tenggara to be exported for the next five years. Under the current GR No 1, mineral concentrates can no longer be exported after January 12, 2017.
The previous government introduced a ban on the export of mineral ores including nickel in early 2014, but allowed the export of mineral concentrates until January 2017, by which time companies such as PT Freeport and PT Newmont were expected to have already completed the required domestic smelter. However, construction of the required smelters have yet to be completed, thus the need to revise GR No 1/2014. The current government expects the smelters to be completed in five years. (*)