Indonesian government sources have told Metal Bulletin that independent tin smelters seeking to re-open need to obtain new mining licences from the central government.
The Indonesian government ruled last week that the six smelters applying for permission to export will have to change to the correct mining permits before they are allowed to receive export permits, officials said. The application for a new permit could take until the end of April to complete, one official said.
Authorities have told smelters they need a mining licence known as “Kuasa Pertambangan” (KP), which is issued by the Ministry of Energy and Mineral Resources under Mining Law 11 from 1967. These licences usually cover both exploration and mining and typically run for 30 years.
The new guidance does not apply to PT Koba Tin, which as a foreign-controlled venture operates under a 10 year contract of work. Koba is expected to be the next company to be granted an export licence, following PT Timah and PT Bellitin Makmur Lestari, a small independent smelter based in Belitung.
