PT Freeport Indonesia (PTFI) has obtained export approval for copper concentrate and anode mud from the Indonesian government until December 2024. The export permit was obtained following the operation of PTFI’s new smelter in the Java Integrated Industrial and Ports Estate (JIIPE) Special Economic Zone (KEK), Manyar, Gresik, East Java in June 2024.

PTFI’s parent in the United States, Freeport-McMoRan Inc. (FCX), announced that PTFI’s export permit had been received on July 2, 2024. As PTFI’s new copper smelter operates at full capacity by the end of 2024, Freeport is committed to paying export duties on copper concentrate.

Previously, FCX attempted to lobby the government to waive concentrate export duties. FCX argued that the export duties were not in line with the special mining business permit (IUPK) agreement obtained by PTFI in 2018. FCX stated that in accordance with PTFI’s IUPK provisions which became effective in 2018, concentrate export duties should no longer be imposed after smelter progress reaches 50%.

Meanwhile, Freeport’s export permit for 1.7 million metric tons of copper concentrate obtained on July 24 2023 is only valid until May 31 2024. However, Freeport has been confirmed to have received an extension of its copper concentrate export permit until 31 December 2024 through the issuance of Regulation of the Minister of Energy and Mineral Resources Number 6 of 2024 concerning Completion of Construction of Domestic Metal Mineral Refining Facilities.

President Director of Freeport Indonesia Tony Wenas said that the company targets concentrate exports to reach 900,000 tons by December 2024.