The Fate of Freeport in the Jokowi Era

Kompas/Didie SW

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The government, through the Energy and Mineral Resources Ministry and the Finance Ministry, has reached an agreement with PT Freeport Indonesia on several crucial clauses in their contract renegotiation.

Important clauses agreed upon include the conversion of contracts of works (CoW) to special mining business permits (IUPK), divestment of 51 percent of shares, smelter development and increase in revenues (royalties and taxes). If these four conditions are met, Freeport will get a guarantee of a contract extension until 2041.