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Potential Mining Industry Indonesia Still Positive


JAKARTA - Pollsters PricewaterhouseCoopers (PwC) Indonesia launched "Indonesia Mining Survey 2013" in Jakarta, Thursday, May 30 2013, results of the annual survey shows the 11th-mining industry players are still looking positive potential in investing in the mineral and coal in Indonesia.

Researchers PwC Indonesia, Ali Mardi said the agency survey showed that 2011 and 2012 was a year of change in the fortunes of the mining industry in Indonesia. Improved financial performance in the mining business in 2011, turned into a deteriorated in 2012, due to global economic uncertainty and declining commodity prices.

However, he said, the mining industry in Indonesia is still looking positive investment potential in this sector, with interest for the discovery of various types of mineral reserves, amid the challenges that go with it.

PwC survey also shows that investors are still putting Indonesia, in a high ranking in terms of mineral prospects. However, this situation is mitigated by government policies and conditions less favorable investment climate, even worse.

"This perception will inhibit the growth of investment in the Indonesian mining industry in the future," said Ali. But in terms of performance, in the face of difficult global situation and policy uncertainty, Indonesia's mining industry is still able to record a contribution of 15% increase in 2011 and 2012, primarily from coal mining.

For this year, said Ali, PwC survey covers the entire geographical territory of Indonesia, and all major minerals including coal, gold, copper, nickel, and tin. Mining industry contribution to the Indonesian economy as a whole continues to rise. The mining sector accounts for 5% - 6% of Indonesia's GDP in 2011 and 2012, and more than 17% to export earnings.

Martabe own Gold Mine, which is located in Batangtoru, South Tapanuli, North Sumatra, along the first-quarter 2013 production exceeded the target performance. Martabe Gold Mine President, Peter Albert said, Martabe will become the standard reference for G-Resources for doing business in Indonesia and in other areas, and continues to grow with a fixed priority to safety, environmental sustainability, and community development.
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