FCX Freeport McMoRan Inc

By Sara Schonhardt

JAKARTA--Indonesia plans to issue revised mining regulations in coming days aimed at tackling issues around export taxes for minerals, divestment obligations and in-country processing requirements, the minister of energy and mineral resources said Tuesday.

Ignasius Jonan told reporters that the revisions would be ready in a day or two. They would come as a full ban on semi-processed minerals is set to take effect that could impact some of the country's biggest miners, including the local arm of U.S. gold and copper giant Freeport McMoRan (FCX).

In recent years, several regulations have been issued that have been blamed by mining companies and industry analysts for creating uncertainty among investors and hampering mining in a country that is a top producer of copper, nickel, bauxite and tin.

Among them is a ban on mineral-ore exports implemented in 2014 to try to force companies to build smelters locally to add value to ores and create jobs. A reprieve allowing the export of a limited of minerals that have been partly processed into concentrate--copper, iron ore, manganese, lead, zinc, titanium and ilmenite--expires Thursday.

The ban has been opposed by many miners who initially said building smelters was unfeasible given low commodities prices. It also squeezed off exports of ores such as bauxite, nickel, tin and gold, sidelining a critical supplier for key metals producer China.

It has dented revenue for Indonesia and large miners like Freeport, which has been at a loggerheads with the government over extending its concession contract, preventing an $18 billion investment and further development of its smelter.

--Anita Rachman contributed to this article.

Write to Sara Schonhardt at sara.schonhardt@wsj.com

(END) Dow Jones Newswires

January 10, 2017 10:55 ET (15:55 GMT)

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