JAKARTA - Indonesia’s Energy and Mineral Resources Ministry has issued a recommendation letter for PT Freeport Indonesia to export copper concentrates starting this month until January 11, 2017. In February 2016, an export permit was renewed by the trade ministry through August 8, 2016.
Director General of Mineral and Coal Bambang Gatot Ariyono told reporters, Freeport also received an additional export quota to 1.4 million tons. The company is still in discussions with government to obtain an extension of its long-term rights under its original contract-of-work agreement as it looks to extend operations beyond 2021. It has agreed to construct new smelter capacity in Indonesia and to divest an additional 20.64 percent interest in Freeport Indonesia at fair market value. The Indonesian government continues to impose a 5 percent export duty while it reviews the company’s smelter plans. In first half of 2016, Grasberg mine produced 169,000 tonnes of copper and 336,000 ounces of gold. (*)