Indonesia Adjusts Royalty Rates for Various Minerals

The Ministry of Energy and Mineral Resources (MEMR) amends the royalty and non-tax state revenue provisions for the mineral and coal sectors with the aim of increasing the mining sector's contribution to the national treasury.Nickel ore royalty rate will be increased from 10% to 14%-19%; nickel matte, ferronickel, nickel pig iron and other nickel-processed products will also be gradually increased according to the price increase in the rate, ranging from 0%-250%. A variety of mineral royalty rates, including coal, tin, gold, silver, copper, etc., are planned to be adjusted, such as coal according to different conditions with different ranges of rate adjustments; copper ore, copper concentrates, copper cathode royalty rates will be significantly increased, the rate of increase in the range of 100%-250% or so; gold royalty rate from 3.75%-10% The government's revision of the relevant policy is to increase the contribution of the mining industry to the national revenue, and the adjustment involves a variety of minerals, which will be realized by adjusting the royalty rate. royalty rates.