Ministry urges optimal critical mineral management amid global shifts

Jakarta (ANTARA) - The Energy and Mineral Resources (ESDM) Ministry underscored that critical minerals will serve as a primary determinant of future global economic competitiveness—necessitating optimal, sustainable, and value-added resource management by Indonesia.

"Critical minerals will be one of the main determinants of global economic competitiveness in the future," the ministry’s Director of Mineral Business Development, Cecep Mochammad Yasin, stated during a discussion in Jakarta on Wednesday.

He noted that the global energy and mineral landscape is undergoing a highly dynamic transformation, heavily influenced by geopolitical tensions, global supply chain disruptions, climate change, and an accelerating energy transition.

Under these circumstances, Yasin argued that energy security is no longer confined to resource availability but increasingly hinges on a country's capacity to control strategic resources that serve as the foundation for future technologies.

He emphasized that Indonesia possesses significant capital to navigate these global shifts, given its massive commodities footprint. Indonesia holds the world's largest nickel reserves, estimated to last 31 years under an annual production assumption of 190 million tons.

In addition, the country holds the world's second-largest tin reserves, equivalent to a 22-year supply based on an annual production rate of 65,000 tons.

"Furthermore, Indonesia possesses the world's fourth-largest bauxite reserves, alongside sufficient deposits of copper, gold, silver, and iron," Yasin added.

He also pointed out that Indonesia maintains some of the largest coal reserves globally, which continue to play a vital role in safeguarding national energy security.

According to Yasin, achieving energy sovereignty is intrinsically linked to a nation's ability to manage its mineral and coal resources optimally, sustainably, and with domestic added value.

"Global market trends indicate a structural shift in energy requirements. Demand for critical minerals—including lithium, cobalt, graphite, copper, and rare earth elements—is projected to rise continuously until 2040 to support the global expansion of electric vehicles, batteries, renewable energy, and modern electricity networks," he concluded.

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Translator: Khaerul Izan, Yashinta Difa

Editor: Azis Kurmala

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