Prabowo Threatens to Revoke Dormant Mining Concessions If No Activity in 2 Years

JAKARTA, KOMPAS.com - President Prabowo Subianto has threatened to revoke mining business permits (IUP) that do not exhibit any activity for two years.

"I have instructed the Minister of Energy and Mineral Resources that if there is no real activity for more than two years, revoke it," Prabowo emphasized during his speech at the opening of the National Coordination Meeting (Rakornas) of the Regional Finance Access Acceleration Team (TPAKD) at JIExpo, Jakarta, on Thursday (22/10/2026).

Prabowo then referenced the Abadi natural gas development project in the Masela Block, Tanimbar Islands Regency, Maluku Province.

This project is managed by the Japanese energy company INPEX, which has undergone a lengthy development process since its management contract began in 1998.

"There is a 28-year concession in Maluku, Masela. It has not been executed for 28 years," Prabowo disclosed.

He recounted his experience visiting Japan and meeting directly with leaders of the energy companies involved in the Masela Block project.

At that time, Prabowo stated that the Indonesian government was ready to move forward with the revocation of management rights if the company did not show seriousness in executing the project.

"I flew to Japan, I met with important figures there. I asked respectfully, I asked politely. As President, I must be polite. I asked nicely, ‘Your Excellency, is INPEX still interested in the project? If not, we will have to revoke the concession,’" Prabowo recounted.

On this occasion, he also revealed there are five mining concessions with proven reserves valued at Rp 5,400 trillion.

This figure was derived from studies based on resource and reserve reporting standards established by the Joint Ore Reserve Committee (JORC).

"There are five concessions, five IUPs (mining business permits). Out of hundreds of IUPs, these five have proven reserves based on studies, called JORC, valued at Rp 5,400 trillion," Prabowo explained.

Upon hearing this from Prabowo, the participants at the TPAKD Rakornas held at JIExpo responded with applause.

However, Prabowo halted the applause, noting that wealth does not automatically translate to benefits for the community.

"Do not clap too soon, because the wealth is still underground; what I mean is our country is very rich. Now it is up to us, the government," Prabowo said.

Prabowo also reminded not to easily grant mining concession permits to parties that are not capable of managing them.

He indicated that he had received reports of concessions that remain unworked, even though they have been granted for decades.

"We must be meticulous; can we trust that the party we grant the concession to actually has the capability to execute the work? The issue is many concessions we have given remain unworked for decades. This is what we are currently organizing," Prabowo stated.