The Ministry of Environment has secured a legal victory against two nickel mining firms − PT James & Armando Pundimas (PT JAP) and PT Bhima Amarta Mining (PT BAM) − for illegal mining activities in protected forest areas of North Konawe, Southeast Sulawesi. 

The companies have been ordered to pay Rp47.97 billion (US$2.9 million) in compensation for ecological and economic damage.

“This lawsuit reflects the government’s commitment to reducing environmental violations. It is a concrete example of the state's efforts to uphold the public’s right to a decent, clean, and healthy environment,” Dodi Kurniawan, Director of Environmental Dispute Settlement and Legal Counsel at the Minister of Environment, said as quoted in a statement on Wednesday, June 18, 2025.

The ruling was delivered by the Jakarta High Court on June 5, 2025, following an appeal by the environment ministry after an earlier decision by the Central Jakarta District Court had rejected the civil lawsuit.

The case dates back to 2021, when authorities discovered heavy machinery operating illegally in Lamondowo Village, Andowia District, within a designated production forest zone. Both PT JAP and PT BAM were found conducting unlicensed nickel mining within protected forest areas. A criminal case followed in 2022, in which the Director of PT JAP was found guilty of unlawfully occupying state forest land.

After the criminal conviction, the ministry filed a civil lawsuit in Central Jakarta District Court in December 2023. However, the court dismissed the claim in February 2025. The ministry then pursued an appeal with the Jakarta High Court, which overturned the lower court’s decision and granted part of the ministry’s demands.

The court found that PT JAP and PT BAM had caused environmental pollution and degradation across a 2.8-hectare area and ruled that both companies must pay nearly Rp48 billion in damages.

Rizal Irawan, Deputy for Environmental Law Enforcement at the MInistry of Environment, emphasized that the ruling sends a powerful message to businesses in the extractive industry.

“This decision proves that the law can still stand on the side of the environment. It is a strong signal that businesses can no longer ignore the ecological consequences of their operations,” Rizal said.

He also noted that the ministry will continue to push for preventive and punitive actions against environmental violations across the country. The case is seen as a milestone in enforcing environmental justice and strengthening the rule of law in protecting Indonesia’s natural resources.