Some major coal miners have finally released financial reports for the first half ended June 30, 2025. No surprises. Revenues dropped on falling average price of thermal coal, while net profit declined significantly (some by 80%). Payments to the State, in the form of corporate income tax and non-tax (royalties and profit sharing), dropped accordingly.

China’s largest offshore oil and gas producer, CNOOC Ltd has entered into two production sharing contracts (PSCs) for the Gaea and Gaea II exploration blocks, marking a significant step following the Indonesian government’s confirmation of winning bidders in April 2025. 

Indonesia’s export of natural gas declined 14.4% to US$3.7 billion in the first half of 2025, contributing to US$8.84 billion of deficit in oil and gas. Pathetic delay of major gas projects like Masela, Indonesia Deepwater Development, and Natuna East amidst growing domestic demand for cleaner energy led to growing deficit in the past two decades.

Looks like that nickel price is no longer affected by movements in the electric vehicle (EV) market. While global EV sales expanded 27% year-on-year in the first seven months, nickel declined 10% to US$14,955 per ton. LFP batteries continue to dominate the Chinese...

Adjustment in royalty managed to offset downfall of thermal coal price in the first seven months of 2025. Pressures, however, intensify in the second half due to lower volume and further correction of prices.

Nickel moved little around US$15,200 per ton despite news about Indonesian government’s plan to give incentives to nickel-based EVs. While Indonesia is the largest auto market in Southeast Asia, the controversial proposal will do little to take back nickel to its record highs. 

Newcastle thermal coal retreated to US$111.8 per ton this week on low demand, strong supply of renewable energy, and higher output in the world’s largest producer and consumer of the commodity: China. Indonesian coal miners will likely see margins squeezed further in the second half.

Anhui KEDA Clean Energy Co Ltd has recently commenced the construction of phase II of the coal-to-gas project for alumina refinery of PT Borneo Alumindo Prima, a subsidiary of China’s Hangzhou Jinjiang Group. Back in January, Anhui KEDA Clean Energy signed an EPC contract for phase II of the coal-to-gas project with Hangzhou Jinjiang Group.  

PT Bhakti Alam Indonesia Timur (BAIT) has officially begun construction of a manganese concentrate factory with US$2 million of investment in Kupang, East Nusa Tenggara province. The groundbreaking ceremony finally took place despite initial rejection since 2012.

Medco Energi (MEDC), one of the largest oil and gas players in the country, spent US$220 million of its cash for new investments in the first half of 2025, down slightly from US$242 million in the corresponding period of 2024.