Coal and Gold Prices Surge Owing to War; Indonesian Entrepreneurs React

Jakarta, CNBC Indonesia - The conflict between Iran and Israel alongside the United States has triggered a surge in commodity prices, including coal and gold. This situation could be a potential opportunity for Indonesia, a country rich in natural resources.

Ezra Sibarani, Vice Chairperson of the Indonesian Mining Association (IMA), notes the mining industry has often been likened to a goose that lays golden eggs because of its large contribution to state revenue. Therefore, the government and industry players need to ensure the sector remains healthy so it can continue to benefit both the country and the business world.

‘If we look at mining revenues, they contribute a very large amount to the state. So how can we pamper the goose so that it continues to lay eggs, golden eggs? So the state can benefit, and the industry can benefit,’ Ezra said during CNBC Indonesia’s Mining Forum, ‘What is the State of the Indonesian Mining Industry?’, on Friday (6 March 2026).

Ezra acknowledged the government is presently promoting various measures in the mining sector, from increasing exploration to the development of strategic minerals. However, to push this agenda, certainty for investors is required.

‘If we go back to 1967, when we invited investment, new capital was allocated, new mining laws were issued; the government back then guaranteed. Call it Contract of Work, call it PKP2B. 30 years should not change. The royalties remain, the working area remains,’ he said.

Meanwhile, Gita Mahyarani, Executive Director of the Indonesian Coal Mining Association (APBI), assesses global geopolitical tensions are pushing many countries to strengthen their energy resilience. This is triggering rapid changes in the dynamics of the global energy market.

According to Gita, the market is highly reactive, prompting many countries to seek alternative energy supplies to secure their needs.

‘We cannot deny one or two months like India seeking another market, even if it is broad; therefore, certainty — or as Mr Ezra says, certainty of business — is needed in the global market because the market is highly reactive here,’ she said.