Cooperative Participation in the Mining Sector Formalized: Dual-Verified Priority WIUP Allocation Now Extended to Red-and-White Cooperatives

In 2021, the government established Regulation No. 96 of 2021 on the Implementation of Mineral and Coal Mining Business Activities, which was subsequently amended several times, most recently by Regulation No. 39 of 2025 (collectively referred to as “Regulation 96/2021”). Regulation 96/2021 reaffirms that cooperatives are eligible to involve themselves in mining business activities, which may include the downstream processing of minerals and coal. This participation should be facilitated through the allocation of Mining Business License Areas (Wilayah Izin Usaha Pertambangan – “WIUP”) and Special Mining Business License Areas (Wilayah Izin Usaha Pertambangan Khusus – “WIUPK”).[1]