Sector

Mining

Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.

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Mining

Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.

Mining flourishes across various regions of the country, each contributing to the nation’s economy. It is present in regions such as South Sumatra, Riau, Riau Islands, Bangka-Belitung, Central Kalimantan, East Kalimantan, South Kalimantan, and North Kalimantan. Additionally, mining is also prevalent in Southeast Sulawesi, Central Sulawesi, West Nusa Tenggara, North Maluku, Papua, and West Papua.

Indonesia’s wealth of mineral resources offers a wide variety of materials available for mining. From abundant reserves of gold, bauxite, tin, and copper concentrates to nickel ore, the country’s rich mineral resources signify significant potential for economic growth and development. In addition, Indonesia is also rich in coal mining, with its abundant coal reserves catering to the energy needs of both domestic and international markets.

The country's mining sector thrives on these resources. In 2023, mineral resources such as bauxite reached a production of 28 million tons, gold at 85 thousand kilograms, tin concentrate at 57 thousand metric tons, copper concentrate at 3 million metric tons, along with nickel ore at 98 million metric tons.3 Meanwhile, Indonesia’s coal production reached 775.2 million tons in 2023, almost double than ten years earlier when coal production stood at 421 million tons.

Additionally, Indonesia is home to oil and gas exploration and exploitation, although its output has been dwindling. Once an exporting country of oil and gas, Indonesia has transitioned into a net importer of these commodities since 2008 when consumption surpassed outputs, which stood at around 1 million barrels per day (bpd). In the first semester of 2023, Indonesia’s oil output stood at 615 bpd.

Subsequently, the government has worked hard to reverse the trend of falling oil output and has set a target to restore oil lifting to 1 million bpd in 2030, alongside a gas production target of 12 billion standard cubic feet per day (BSCFD). As of January 2023, Indonesia’s documented oil reserves were 2.41 billion barrels, and its natural gas reserves stood at 35.5 trillion cubic feet.

As for investments, Indonesia secured US$30.3 billion for the energy and mining sector in 2023, marking an 11 percent increase from the previous year. That same year, the oil and gas sector led the way,

achieving US$15.6 billion in investments, followed by mineral and coal at US$7.46 billion, electricity at US$5.8 billion, and renewable energy at US$1.5 billion.

Latest News

March 28, 2025

East Nusa Tenggara Governor Melki Laka Lena and East Sumba Deputy Regent Yonathan Hani signed a strategic cooperation agreement on behalf of East Nusa Tenggara and East Sumba Regency, East Nusa Tenggara, respectively, with Jakarta Special Capital Region (DKI) Governor Pramono Anung in a closed meeting held on Mar. 22, 2025.

The cooperation aims to strengthen relations between the regions in various sectors, from the overall economy to the empowerment of micro enterprises. Several important points agreed upon in the meeting include:

  1. Opening Up for Investment: The DKI Jakarta Government is committed to opening investment opportunities in NTT to support economic growth and regional development;
  2. Collaboration in Agriculture and Plantations: Increasing the productivity of East Nusa Tenggara's agricultural and plantation sectors through the use of modern technology, farmer training, and support for market access from DKI Jakarta;
  3. Development of Micro, Small, and Medium Enterprises: DKI Jakarta is ready to support the development of MSMEs in East Nusa Tenggara by providing capital assistance, marketing access, and increasing the capacity of business actors in East Nusa Tenggara;
  4. Delivery of Superior Commodities: The delivery of beef, salt, and seaweed from East Nusa Tenggara to Jakarta, which is expected to expand the market for East Nusa Tenggara livestock breeders and farmers while meeting DKI Jakarta's need for food commodities;
  5. Capital Participation in PT Bank Pembangunan Daerah Nusa Tenggara Timur (Bank NTT): The DKI Jakarta Government plans to provide capital participation in Bank NTT to strengthen access of East Nusa Tenggara's local communities to financing and to support the province's banking industry.

Emotional relationships also strengthen this collaboration on top of mutual economic interests. Pramono's wife Endang Nugrahani is known to actively support woven cloth craftsmen in Sikka Regency, East Nusa Tenggara, which further strengthens cultural ties between the two regions.

"We are optimistic that this collaboration will have a positive impact and open up new opportunities for the people of East Nusa Tenggara," said Yonathan.

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