The Indonesian Ministry of Energy and Mineral Resources (ESDM) is collaborating with the Northern Territory (NT) of Australia in strengthening the supply chain of critical and strategic minerals.

This collaboration is expected to strengthen Indonesia's position in the global mineral supply chain and support NT Australia's efforts to diversify mineral supplies.

The Memorandum of Understanding (MoU) on the Critical and Strategic Mineral Supply Chain was signed by both parties on November 12, 2024.

Arif Havas Oegroseno, Indonesian Deputy Minister of Foreign Affairs, emphasized the importance of diversifying partnerships not only with countries, but also with states that have significant capacity in the critical mineral industry.

"The ESDM Memorandum of Understanding with NT Australia can be a model for the Indonesian government to explore cooperation with other states that have strategic potential in Australia," Arif said on Friday, February 21, 2025.

Dadan Kusdiana, Secretary General of the Ministry of Energy and Mineral Resources (ESDM), said that the contents of this collaboration are in line with the recently passed MiningLaw (UU Minerba).

He cited that this collaboration aims to support economic growth and create jobs through research, innovation and exploration.

Decarbonization and sustainability

Dadan highlighted the importance of decarbonizing the mining industry by adopting renewable energy, electrifying mining operations and using advanced technology.

"Indonesia implements practices that prevent the loss of biodiversity and protect natural ecosystems, to ensure sustainable and responsible development," he said.

Robyn Cahill, Minister for Trade, Business and Asian Relations NT Australia, praised this collaboration and expressed hope that its implementation could be realized soon at the industry and government levels.

"Our resources continue to grow every day with new discoveries and opportunities, especially in the critical minerals sector. Many organizations and businesses are showing interest in investing in our region because of its vast potential," Cahill said.

In the implementation plan, both will hold the Indonesia-NT Australia Mineral Roadshow in April 2025, which will involve Indonesian mining companies’ visit to NT Australia. In May 2025, a return visit will be made to Sulawesi (Sorowako and Morowali) or Maluku (Teluk Weda).

This collaboration includes joint studies and development in exploration of processing and refining technologies, as well as training programs to increase human resource capacity in the minerals sector.