Freeport Reduces Concentrat Mining Production To 40 Percent, Here's The Reason

Director General of Mineral and Coal (Minerba) Tri Winarno (Photo: Maria Trisnawati/VOI)

JAKARTA - PT Freeport Indonesia (PTFI) reduces the total production of copper concentrate in its mine by 40 percent.

Director General of Mineral and Coal (Minerba) Tri Winarno said this was because the copper concentrate storage area or stockpile had exceeded capacity.

"If the stockpile is full, it will automatically be produced. (Now) it will decrease to 60 percent," said Tri Winarno to the media crew at the Ministry of Energy and Mineral Resources Building, Friday, February 14.

However, Tri did not say with certainty since when Freeport reduced its production capacity.

The decline in production was also due to PTFI which had not yet received a copper concentrate export permit from the government.

Just so you know, the export license for copper concentrate has expired since December 31, 2024. On the other hand, PTFI has not been able to produce it because the operation of PTFI's smelter in Gresik has been temporarily suspended due to the fire that occurred in the sulfate acid treatment unit.

Tri admitted that until now the government has not given a concentrat export permit because it has just completed the investigation process of the burning smelter.

"There is no intentional element. If there is intentional insurance, he will not be disbursed. That will be insured," explained Tri.

Previously, Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia asked PTFI to immediately provide a report on the deadline for improving the smelter if the government wanted to issue an export recommendation letter.

"So I told him (Managing Director of Freeport), I may give permission, but you have to sign when the repairs (smelters) will be completed. So that we are fair. Because (owned cathode smelter) Amman, in West Nusa Tenggara, it is already running. So the concentrate is no longer what we export, "said Bahlil, Tuesday, February 11.