Ministry of Energy and Mineral Resources to auction 10 mineral and coal mining bussiness permit (WIUP) work areas worth over IDR 200 trillion

Published on 06/10/2023 at 10:42 GMT+7 Reading time

The Ministry of Energy and Mineral Resources (ESDM), through the Committee for the Auction of Mineral and Coal Mining Business Permits, is set to conduct an auction for Mineral and Coal Mining Business (WIUP) permits related to metal minerals and coal, with a combined compensation value exceeding IDR 200 billion.

The bidding process will be conducted in writing, without the physical presence of participants, through a closed online platform dedicated to WIUP auctions.

The official website has outlined two separate registration and document submission windows for prospective participants. The first window, covering WIUP Blocks number one through five, will be open from October 16 to October 18, 2023. The second window, encompassing WIUP Blocks number six through ten, will be available from October 18 to October 20, 2023.

The auction is facilitated by the Directorate General of Mineral and Coal (Minerba) under the Ministry of ESDM. Here is a list of the ten WIUP permits being auctioned:

1. WIUP Block Waringin Agung

Location: Kotawaringin Timur Regency, Central Kalimantan

Area: 98,820 hectares

Commodity: Gold

Compensation Value: IDR 148 billion

Land Use: Production forest (27,248 hectares), limited production forest (35,551 hectares), convertible production forest (15,343 hectares), and other usage areas (20,678 hectares).

2. WIUP Block Lolayan

Location: Bolaang Mongondow Provincec, North Sulawesi

Area: 162.3 hectares

Commodity: Gold

Compensation Value: IDR 262 million

Land Use: No forest area designation.

3. WIUP Block Wailukum

Location: Maba Sangaji and Wai Lukum village, Halmahera Timur Regency, North Maluku

Area: 217 hectares

Commodity: Nickel

Compensation Value: IDR 1.56 billion

Land Use: Convertible production forest (155.7 hectares) and other usage areas (61.3 hectares).

4. WIUP Block Gunung Botak

Location: Namlea, Teluk Kaiely, and Waeapo Subdistricts, Buru Regency, Maluku

Area: 24,764 hectares

Commodity: Gold

Compensation Value: IDR 37 billion

Land Use: Conservation forest (2,076.4 hectares), production forest (4,601.4 hectares), convertible production forest (8,124.8 hectares), and other usage areas (9,961.4 hectares).

5. WIUP Block Semidang Lagan

Location: Pagar Gunung village, Semidang Lagan Subdistrict, Bengkulu Tengah Regency, Bengkulu

Area: 361 hectares

Commodity: Coal

Compensation Value: IDR 8 billion

Land Use: Production forest (348.7 hectares) and other usage areas (12.3 hectares).

6. WIUP Block Brang Rea

Location: Sumbawa Barat Regency, West Nusa Tenggara

Area: 4,813 hectares

Commodity: Gold

Compensation Value: IDR 7.2 billion

Land Use: Limited production forest (797 hectares), production forest (2,466 hectares), and other usage areas (1,550 hectares).

7. WIUP Block Taludaa

Location: Bone Bolango Regency, Gorontalo

Area: 3,714 hectares

Commodity: Copper

Compensation Value: IDR 5.5 billion

Land Use: Limited production forest (72 hectares), production forest (122 hectares), and other usage areas (3,520 hectares).

8. WIUP Block Nibung

Location: Musi Banyuasin and Musi Rawas Utara Regency, South Sumatra

Area: 21,050 hectares

Commodity: Coal

Compensation Value: IDR 95 billion

Land Use: Production forest (15,341 hectares), limited production forest (2,947 hectares), and other usage areas (2,762 hectares).

9. WIUP Block Kaf

Location: Sonof Kacepo village, Pulau Gebe Subdistrict, Halmahera Tengah Regency, North Maluku

Area: 914.5 hectares

Commodity: Nickel

Compensation Value: IDR 6.5 billion

Land Use: Production forest (834.7 hectares) and other usage areas (marine waters, 79.8 hectares).

10. WIUP Block Marimoi I

Location: Marimoi and Bololo village, Wasile Utara Subdistrict, Pumlanga village, Maba Utara Subdistrict, Halmahera Timur Regency, North Maluku

Area: 4,121 hectares

Commodity: Nickel

Compensation Value: IDR 14.8 billion

Land Use: Limited production forest (3,561.88 hectares), production forest (233.62 hectares), convertible production forest (325.5 hectares).

This auction signifies a significant opportunity for investors and mining companies looking to engage in mineral and coal mining activities in Indonesia. It is expected to generate substantial interest and competition among participants.

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