Indonesia is one of the most important players within the global mining industry, a result of the country’s significant output of coal, copper, gold, tin and nickel. Indonesia also remains among the world’s largest exporters of thermal coal and is constantly ranked amongst the countries which can boast the world’s highest production of coal and mineral products. Although the national output of minerals and coal has a propensity to fluctuate over time, over the course of the past 10 years there has been an overall positive trend, as reflected in the diagram below:[1]
 


Alas however, the contribution made by the mining and coal industry to the Indonesian economy is still considered to be less than optimal, in spite of the recent rise in production levels. As a result of this perceived shortfall, in 2009 the House of Representatives passed Law No. 4 of 2009 on Minerals and Coal Mining (“Mining Law”) in a bid to boost the contribution made by this important sector to the national economy. The Mining Law set out a new policy designed to improve the level of domestic mineral purification and refining by limiting exports of ores and various unprocessed commodities.
 
The Mining Law mandated that all ore minerals had to be processed in Indonesia by January of 2014, leaving no room for the export of such commodities. In 2014, however, the government relaxed this provision by allowing certain types of commodity to be exported up until January 2017 through the issuance of Ministry of Energy and Mineral Resources (“Ministry”) Regulation No. 1 of 2014  on the Enhancement of the Added Value of Minerals Through Domestic Mineral Processing and Refinement Activities (“Regulation 1/2014”).[2]
 
In order to offer a response to the passing of this “second deadline” placed upon exports, the government has just issued Government RegulationNo. 1 of 2017 (“Fourth Amendment”), which amends Government Regulation No. 23 of 2010 on the Implementation of Mineral and Coal-Mining Activities (“Regulation 23/2010”). This Fourth Amendment offers a further five years of leeway as regards exports of copper, bauxite and nickel concentrates under several conditions.
 
In order to accommodate the effective implementation of the Fourth Amendment, the government has also issued three implementing regulations, specifically: