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Freeport Resumes Copper Export

Translator

Editor

10 February 2016 15:18 WIB

Freeport`s Grasberg Mine in Papua. REUTERS/Muhammad Yamin

TEMPO.CO, Jakarta - Freeport Indonesia has officially obtained permission to continue exporting copper concentrate up until August 8, 2016. The export extension letter was issued by the Trade Ministry following an export recommendation issued by the Energy and Mineral Resources Ministry on Tuesday, February 9, 2016.

"We have received the [extension] letter. The documentation [process] has been completed," said Didi Sumedi, Director for Industrial and Trade Products Export at the Trade Ministry on Wednesday, February 10, 2016.

Bambang Gatot Ariyanto, Director General of Mineral and Coal at the Energy and Mineral Resources Ministry said that the government has allowed Freeport to export 1,033,758 tons of copper concentrate, a number that matches Freeport’s request.

The number is also considerably higher compared to the previous copper concentrate export quota of 775,000 tons. However, Bambang said that the actual number of copper concentrate exported by the company was lesser.

Previously, Freeport's export activity was hampered by its inability to comply with the requirements put forth by the government following the company's failure to complete 60 percent smelter construction mandated by the government. The requirements include five percent export tax and a US$530 deposit for smelter construction.

Freeport spokesman Riza Pratama confirmed that the government had issued the export permit. "We thank the government," Riza said.

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