Despite Indonesian President Joko Widodo having signed a regulation that will lead to a relatively cheap coal price for domestically-sold coal under the domestic market obligation, shares of Indonesian coal miner Adaro Energy rose 1.39 percent to IDR 2,190 a piece on Thursday (08/03).
Indonesia President Joko Widodo has instructed his administration to complete negotiations over the purchase of a majority stake in Freeport-McMoRan Inc’s local unit by the end of April, a cabinet minister said late on Monday.
Indonesian coal mining interests have lobbied the government to consult widely before agreeing to state power monopoly PLN’s demands for lower prices for domestically mined coal. However, PLN wants the government to impose a domestic market obligation (DMO) rate of US$65 per tonne for coal for its TPPs.
The Jakarta Composite Index (JCI) on Wednesday dropped by 2.03 percent to 6,368.27 as Energy and Mineral Resources Minister Ignasius announced the government’s plan to immediately decide a domestic coal price under the domestic market obligation (DMO).
PT Freeport Indonesia plans to build a smelter processing and refining facility in Gresik, East Java. Executive Director Tony Wenas confirmed that according to the initial plan, the company will build a smelter in Gresik, East Java. In fact, he said, the smelter development plan will still run with or without cooperation with PT Amman Mineral Nusa Tenggara (AMNT)
The government has allowed foreign investors to bid for mining concessions with a total area of more than 500 hectares, while smaller areas will be prioritized for regional administration-owned enterprises (BUMD) operating in their regions.
After a tough couple of years, the recovery of the mining industry started in 2017, and now is the time to kick it into a higher gear and benefit from being an early mover. Digital investments and new charging models are a couple of the initiatives companies will be pioneering to leverage the industry turnaround in 2018. IoT in combination with digital twins and equipping users to service their own assets are also key trends, predicts Rob Stummer, managing director at IFS Australia and New Zealand.