JAKARTA, Feb 14 (Reuters) - Copper miner PT Freeport
Indonesia has reduced its copper ore mining to 60% capacity due
to rising stockpiles, Energy and Mineral Resources Ministry
senior official Tri Winarno said on Friday.
Indonesia has banned exports of unprocessed ores to
encourage domestic processing and value-add. Freeport's new
smelter is undergoing repairs following a fire in October, and
it has requested an export permit extension for its copper
concentrate in the interim.
"When their stockpile is full, surely they have to reduce
ore production," Tri told reporters, adding the period the
mining activities had been reduced was unclear.
Freeport Indonesia was forced to adjust upstream production
as its concentrate storage facilities in Amamapare, Central
Papua and in Gresik, East Java, are full, spokesperson Katri
Krisnati said.
She did not elaborate on the miner's current production
rate.
Meanwhile, Tri said an export permit for Freeport was "in
process", adding no definite decision has been made and the
company is required to meet certain conditions, which he did not
elaborate on.
On Thursday, Reuters reported the company is expected to
resume shipments of copper concentrate from Indonesia this
month, citing two sources with knowledge of the matter.
The firm would start loading cargoes destined for China on
Friday in anticipation of receiving an export licence by month
end, according to one source with direct knowledge of the
matter.
"They cannot export while there is no export recommendation
(from the mining ministry)," Tri said when asked about the
potential shipment to China.
(Reporting by Bernadette Christina Munthe, Fransiska Nangoy;
Editing by John Mair and Emelia Sithole-Matarise)