AFG Venture Group Dispatches

Corporate advisory and consultancy in Australia, South East Asia and India.

Indonesian Energy & Mining Sectors – Export Ban Revisited

April 10th, 2013

Bill Sullivan of Jakarta based law firm Christian Teo Purwono & Partners has written an excellent overview of the recent Indonesian Supreme Court decision regarding the export of certain unprocessed mining products, and why the steps taken by the Government in response will likely lead to further legal action.

Indonesia’s highly contentious export ban on certain unprocessed mineral products continues to attract much attention.

When the Supreme Court struck down the export ban in September 2012, MoEMR rushed out a new regulation intended to preserve the export ban in substance but without, apparently, bothering to first study and understand the objections of the Supreme Court to the export ban.

Now that the detailed reasoning of the Supreme Court has become publicly available, it is possible to assess whether or not MoEMR’s new regulation is likely to overcome the original objections of the Supreme Court to the export ban.

Even a cursory reading of the full Supreme Court decision makes it readily apparent that the handling of the export ban in the new MoEMR regulation does not in any way address the original objections of the Supreme Court to the export ban. Accordingly, another Supreme Court challenge, this time to the new MoEMR regulation, seems very probable.

Bill Sullivan is one of the leading mining, energy and resources lawyers in Indonesia and is regarded as one of Indonesia’s leading experts on the local mining law and regulatory regime.

The full text of his article may be accessed here: Mining Industry Regulation in Indonesia – Export Ban Revisited