Ministry of Environment revokes Dairi Prima’s environmental permit

The Indonesian Ministry of Environment and Forestry (KLH) has officially revoked the Environmental Feasibility Decree (KKL) for PT Dairi Prima Mineral’s (DPM) mining project in Dairi Regency, North Sumatra, Ecobiz.asia reported.

The decision follows an August 2024 Supreme Court ruling that annulled the company’s environmental permit, citing violations of environmental sustainability principles and inadequate consideration of community welfare.

 “We are following up on the cassation decision by revoking the Environmental Feasibility Decree,” said KLH Secretary General Rosa Vivien Ratnawati on Friday, May 24, 2025.

The revocation is formalized under Decree No. SK.888/BPLHK/2025, issued by the Head of the Environmental and Forestry Instrument Standardization Agency (BSILHK).

The legal dispute began in August 2022 when residents near the Prabundara River filed a lawsuit, alleging that DPM’s Environmental Impact Assessment (AMDAL) and feasibility review process lacked procedural integrity and failed to safeguard public health and environmental sustainability. The case progressed through lower courts and culminated in Supreme Court Decision No. 277 K/TUN/LH/2024, which ordered the annulment of the environmental permit.

As a result, DPM is no longer legally permitted to proceed with its mining operations.

Read also : Court overturns environmental clearance for Dairi Prima

 “From our perspective at the Ministry, we are firm that the company cannot continue operations without a valid environmental permit,” Rosa said.

She added that while the government supports investment, it must align with environmental responsibility and inclusive public participation.

 “We are not against investment. But it must not come at the expense of the environment and public health.”

The Ministry views the revocation as a step toward strengthening environmental governance and reinforcing its commitment to sustainable development.

Dairi Prima Mineral is a joint venture between IDX-listed PT Bumi Resources Minerals Tbk (49%) and China Nonferrous Metal Industry’s Foreign Engineering & Construction Co. Ltd (NFC China, 51%). The project aims to develop an underground mine at the Anjing Hitam prospect, with processing facilities for 1 million tons of ore annually, producing up to 225,000 tonnes of zinc sulphide and 105,000 tonnes of lead sulphide. NFC China also serves as the EPC contractor.

In August 2024, Bumi Resources Minerals indicated plans to pursue further legal remedies, including a possible Supreme Court judicial review (Peninjauan Kembali or PK).

Editing by Reiner Simanjuntak

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