Foreign companies seeking to establish a non-oil and gas mining operation in Indonesia are required to obtain a mining license. This section briefly explains what is needed in applying for one.
After being highly sought-after and becoming a leading foreign exchange earner through the early 2000s, Indonesia's coal sector has been hit hard in recent years following the fall in commodity prices.
The economic slowdown and uncertain global environment have obstructed Indonesia's policy to push the country's mining sector to invest in metal smelters and downstream industries. Falling exports and the depreciation of the rupiah raise questions over the timing of the government's move to ban shipments of unprocessed metal minerals.
Building Indonesia's metal industries requires immense capital, much of which will come from abroad. The ore export ban, therefore, should be seen by foreign investors as an opportunity rather than a threat. For mining companies willing to play by the new rules, it's far from game over.
Contribution to GDP: 11% (Q3 2015)
Oil & Gas Imports: $22.8 billion USD (Jan-Nov 2015)
Proven Oil Reserves: 3.7 billion barrels (2015)
Proven Gas Reserves: 101 trillion cubic feet (2015)
Proven Coal Reserves: 28 billion tonnes total reserves (2015)
Proven Potential in Geothermal Energy: 29 GW
Proven Potential in Hydropower: 75 GW
Other Energy Sources: Coal Bed Methane, Biomass, Waste, Ocean Current, Solar, Wind.
Current Energy Mix: Petroleum 41%, Coal 30%, Natural Gas 23%, Renewables 6% (2014).