Below is a list with tagged columns and company profiles.

Today's Headlines Mining

  • Indonesian Banks’ Non-Performing Loans Rising Sharply in Four Sectors

    Although Deputy Governor of the central bank of Indonesia (Bank Indonesia), Halim Alamsyah, said that the non-performing loan (NPL) level in Indonesia’s banking sector is currently safe at 2.24 percent (well below the five percent threshold which is considered safe), the institution has been monitoring the high level of NPLs in four sectors: construction, trade, mining and social services. The bank will study why the ratio has been growing - whether it is a temporary phenomenon or not - and search the correct policy approach to address this issue.

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  • Newmont Nusa Tenggara and Indonesian Government Signed MoU

    The Chief Executive at Newmont Nusa Tenggara, Martiono Hadianto, said that on Wednesday evening (03/09) a Memorandum of Understanding (MoU) has been signed between the USA- based mining giant and the Indonesian government after an 8-month dispute over the country’s ban on exports of mineral ore (implemented on 12 January 2014). The mining company can now resume copper concentrate exports next week. Earlier this week it had been announced that both sides would come to an agreement.

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  • Mining in Indonesia: Newmont and Government Agree on Renegotiations

    The Indonesian government and Newmont Nusa Tenggara (NNT) have reportedly agreed on the content of a renegotiation package after an 8-month dispute over the mineral ore export ban. NNT, subsidiary of the USA-based Newmont Mining Corporation, will be allowed to resume copper concentrate exports up to 200,000 tons (with a value of about USD $400 million) until the end of 2014. Last week, NNT already announced it would not seek international arbitration over this matter.

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  • Mining in Indonesia: Impact of Mineral Export Ban on Aneka Tambang

    State-controlled mining company Aneka Tambang (Antam) feels the negative impact of the Indonesian government’s new mining law (Law No. 4 of 2009 on Mineral and Coal Mining) which replaced its 1967 predecessor. This new mining law is controversial because it contains a number of provisions that are negative for foreign investment in Indonesia’s mining sector. However, domestic players also feel the impact because of the mineral ore export ban, part of the mining law, which was implemented on 12 January 2014.

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  • Cipta Kridatama Plans Initial Public Offering on Indonesia Stock Exchange

    Cipta Kridatama, one of Indonesia leading mining contractor companies, plans to conduct an initial public offering on the Indonesia Stock Exchange (IDX) after 2015. The company believes that this corporate action will enhance transparency and good corporate management. Chief Executive officer (CEO) Irfan Setiaputri said that the company is eager to conduct the IPO but needs to wait until after 2015 in order to be fully prepared for this step. The company is currently busy expanding into other business sectors.

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  • New Bill Opens Room for Geothermal Power Development in Indonesia

    Indonesia’s House of Representatives (DPR) passed an important geothermal bill in a plenary session on Tuesday (26/08). This new bill is expected to be a great leap in the development of geothermal power in Southeast Asia’s largest economy. Indonesia contains the world's largest geothermal energy reserves. However the country only uses a small fraction of this geothermal potential. Meanwhile, amid robust economic growth, the country is in serious need to provide more electricity and power to its people and businesses.

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  • Geothermal Energy in Indonesia: Yudhoyono Opens New Power Plants

    Indonesian President Susilo Bambang Yudhoyono will be present at the official launch of four geothermal power plants (the Ulumbu, Ropa, Ndunga and Mataloko plants) on 11 September 2014 on Flores (East Nusa Tenggara). These plants will supply 20 megawatts of electricity to eight regencies on the island (West Manggarai, Manggarai, East Manggarai, Ngada, Nagekeo, Ende, Sikka and East Flores). Indonesia is estimated to have the world's largest geothermal energy reserves. However, the country only uses a fraction of its geothermal potential.

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  • Freeport Indonesia Can Resume Copper Concentrate Exports from Indonesia

    Contrary to Newmont Nusa Tenggara (which has been in a heated dispute with the Indonesian government), Freeport Indonesia obtained a permit to resume copper concentrate exports from Indonesia after these had ceased since January 2014 when the government implemented the ban on exports of unprocessed minerals. Freeport Indonesia Chief Executive Rozik Sutjipto announced that the memorandum of understanding between both sides has been signed. The miner is the Indonesian unit of US based Freeport-McMoRan Copper & Gold.

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  • Heavy Equipment Market in Indonesia Burdened by Low Commodity Prices

    The production of heavy equipment in Indonesia in the first half of 2014 fell by 25 percent (year-on-year) to 2,292 units. The decline in production is due to the still weak state of the mining and construction sectors in Southeast Asia’s largest economy. Main reasons being the implementation of the mineral ore export ban in January 2014 and low commodity prices, for example coal. Limited construction projects have been undertaken in the first half of 2014 as investors wanted to wait for the results of Indonesia’s legislative and presidential elections first.

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  • Coal Mining in Indonesia: Coal Production Grows in First Half of 2014

    Indonesian coal production reached 213 million tons in the first half of 2014, a 7.6 percentage point growth from the same period in the previous year (198 million tons), as coal miners have been boosting coal output amid sluggish international coal prices. Approximately 75 percent of this output (158 million tons) was exported abroad. Indonesia is the world’s largest thermal coal producer and exporter. The country’s coal primarily consists of the medium-quality type (between 5100 and 6100 cal/gram) and the low-quality type (below 5100 cal/gram).

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Latest Columns Mining

  • Corporate Earnings Reports Indonesian Companies First Quarter 2015

    A selection of corporate earnings reports (covering net profit and revenues in the first quarter of 2015) of Indonesian companies that are listed on the Indonesia Stock Exchange (IDX) is presented by Indonesia Investments below. The companies are categorized by sector: (1) agriculture and mining, (2) basic industry and chemicals, (3) miscellaneous industry, (4) consumer goods, (5) property and real estate, (6) infrastructure, utilities and transportation, (7) finance, and (8) trade, services and investment.

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  • Regulatory Uncertainty Plagues Indonesia’s Mining Sector Again

    One of the weak points of Indonesia, one that seriously hurts the country’s investment climate as well as foreign confidence, is regulatory uncertainty. In 2009 the government of Indonesia introduced Law No. 4/2009 on Mineral and Coal Mining (New Mining Law) which caused a shock in Indonesia’s natural resources sector as it includes several new policies that make investors think twice before investing in Indonesia as the consequences of these new policies are far-reaching. However, a possible new amendment to the law causes new concern.

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  • Corporate Earnings Reports Indonesian Companies Full Year 2014

    A selection of corporate earnings reports (covering net profit and revenues for full-year 2014) of Indonesian companies that are listed on the Indonesia Stock Exchange (IDX) is presented by Indonesia Investments below. The companies are categorized by sector: (1) agriculture and mining, (2) basic industry and chemicals, (3) miscellaneous industry, (4) consumer goods, (5) property and real estate, (6) infrastructure, utilities and transportation, (7) finance, and (8) trade, services and investment.

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  • Indonesia Policy Easing Could Mean More Gold Production in 2015

    When we look at activity in the precious metals markets over the last decade, one of the biggest developing trends has been the increase in both demand and production output from emerging Asian economies. For most of this period, Indonesia has been participating with these trends - especially on the production output front. As recently as 2009, Indonesia was responsible for 130 tons worth of gold production, as mining activity becomes more efficient and increased investment resources flow into the country.

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  • Foreign Direct Investment in Indonesia Hit Record High in 2014

    The Indonesia Investment Coordinating Board (BKPM) announced that foreign and domestic direct investment realization in Indonesia totalled IDR 463.1 trillion (USD $37 billion) in 2014, a 16.2 percent increase from the previous year and exceeding the target that was set previously. This is a positive result as 2014 was expected to be a rather bleak year in terms of direct investment amid political uncertainties triggered by the (fragmented results) of the country’s legislative and presidential elections.

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  • Mining Indonesia | Introduction and Overview

    Mining in Indonesia includes a part or all stages of coal and mineral exploration and exploitation. Minerals are defined by law number 4 of 2009 on Mineral and Coal Mining (“Mining Law”) as inorganic compounds which possess specific characteristics and compositions in the form of ores. Coal is defined as sediment of organic carbon which is naturally formed from plants. Mining in Indonesia does not include any activities related to exploration and exploitation of geothermal, oil and gas and ground water.

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  • Indonesia’s Quest for Energy Security: 25 Geothermal Projects Tendered

    The Indonesian government plans to tender 25 new geothermal development sites with a total combined capacity of 1,225 megawatt (MW). These 25 projects will require a total of USD $4.6 billion worth of investments and help to achieve the government’s target to raise the portion of geothermal energy in the country’s energy mix to 7.1 percent by 2025. These 25 projects are in addition to the 31 geothermal development projects that are currently being constructed and which should be operational by 2020.

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  • Without Exploration Indonesia Turns into Net Energy Importer by 2019

    Indonesia is facing the risk of becoming a net importer of energy by 2019 as the nation’s energy demand will reach 6.19 million barrels of oil equivalent per day (boepd) whereas the domestic energy supply will only reach 6.04 million boepd by that year. Provided that the economy of Indonesia remains expanding at a pace of +5 percent (year-on-year) while investments in energy exploration do not rise accordingly, Southeast Asia’s largest economy will become dependent on foreign energy supplies.

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  • Corporate Earnings Reports Indonesian Companies in First 9 Months 2014

    Indonesia Investments presents a selection of corporate earnings reports (covering the first 9 months of 2014) of Indonesian companies that are listed on the Indonesia Stock Exchange (IDX), categorized by sector: (1) agriculture and mining, (2) basic industry and chemicals, (3) miscellaneous industry, (4) consumer goods, (5) property and real estate, (6) infrastructure, utilities and transportation, (7) finance, and (8) trade, services and investment. The tables display both net profit (loss) and revenues, together with year-on-year (yoy) growth.

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  • Geothermal Development: Indonesia to Tender 25 Projects in 2015

    The new Joko Widodo-led government aims to triple domestic geothermal power production within the next five years in an effort to meet ever-increasing power demand in the world’s fourth-most populous country and to shift to more environment friendly energy sources (rather than the over-reliance on fossil fuels such as oil and coal). Although Indonesia is estimated to contain the world's largest geothermal energy reserves, the country only uses about four percent of its geothermal capacity potential.

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