The mining sector makes a huge contribution to the Indonesian economy, accounting for 11.54% of GDP. Having one of the biggest mining sectors in the world, Indonesia mining sector has been experiencing extreme pressure from environmental groups with respect to mining activities.
As commodity prices fell in 2009, investment in Indonesia dropped with many major mining companies shelving their investment plans. However, with commodity prices at all time highs with GOLD at record breaking prices, demands for coal at a high for power generation and copper for industrial and construction, the mining sector is experiencing its next big growth in this decade.
Regardless of the cyclical global economy, environmental challenges and commodities prices, the forecasts for Indonesia mining remains robust reflecting the scale of resources that the country has got within its own means. How will the mining industry perform in 2011 and beyond? What are the minerals in demand? What will the export market be like in the future?
Indonesian mining laws remain unclear to foreign investors. It is well know fact that regulatory issues in Indonesia need to be more transparent and clear. In December 2008, a mining law was passed in parliament (Bill on Mineral and Coal Mining). Under the new laws, there will be a new permit system for all foreign and domestic mining in the country. How will this law affect investment in the mining sector? What new regulations are there in Indonesia?
Indonesia is one of the world’s largest producers of tin, coal and copper. Minerals and related products represented 19% of Indonesia’s total exports, with gold being the largest revenue earner. Also to be discussed, the global demand of rare earth and how Indonesia is going to meet that demand – certainly a topic not to be missed!
Future Mining Indonesia 2011 is the industry defining event aimed at driving the growth and innovation of the Indonesian Mining sector in the 21st century.