[SMM Indonesia Hot Topic News] The government has officially and permanently halted mining activities under four Mining Business Licenses (IUPs) in Southwest Papua

From Jakarta, CNBC:

The government of Indonesian President Prabowo Subianto has officially and permanently halted mining activities under four Mining Business Permits (IUPs) in Raja Ampat, Southwest Papua. This policy was directly announced by Minister of the State Secretariat (Mensesneg) Prasetyo Hadi on Tuesday (June 10, 2025).

Prasetyo Hadi explained at the State Palace on Tuesday (June 10, 2025) that, in accordance with President Prabowo's instructions, the government had decided to revoke the mining business licenses of four companies in the Raja Ampat Regency: "Based on the President's instructions, he decided that the government would revoke the Mining Business Permits of four companies in the Raja Ampat Regency."

Minister of Energy and Mineral Resources (EMR) Bahlil Lahadalia stated that, under President Prabowo's instructions and appointment, his ministry immediately suspended the production operations of the IUPs. "What I want to say is that, out of the five operating IUPs, only one IUP, PT GAG Nickel, had an active RKAB. The other IUPs did not receive RKABs in 2025," Bahlil explained at the same location.

According to SMM, last year PT GAG Nickel received a total approved RKAB quota of 3 million mt, accounting for approximately 70% of the total approved RKABs in West Papua Province. West Papua Province received a total of 4,298,704 mt of approved RKABs last year, the smallest share among all provinces with approved nickel ore RKABs. SMM expects this policy to have a limited impact on the overall nickel ore supply in Indonesia.

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