Freeport Boss Says Mining Permit Extension Beyond 2041 Has Been Submitted

Jakarta, CNBC Indonesia — PT Freeport Indonesia (PTFI) has confirmed that it has submitted a proposal to extend its Special Mining Business Permit (IUPK), which is currently valid until 2041.

PTFI President Director Tony Wenas said the company has already filed the post-2041 IUPK extension application with the Ministry of Energy and Mineral Resources (ESDM).

“Perhaps the (IUPK extension) is still being evaluated by the government, by the Ministry of Energy and Mineral Resources. But we have already submitted it,” he said when met at the DPR RI building in Jakarta on Tuesday (14 July 2026).

For context, certainty over the extension of PTFI’s IUPK was agreed through the signing of a memorandum of understanding (MoU) between the Indonesian government, Freeport-McMoRan and PT Freeport Indonesia in Washington DC, United States, on Wednesday, 18 February 2026.

The MoU states that the extension of PTFI’s IUPK will be sought for the entire life of the mine’s resources.

The agreement between the Indonesian government, FCX and PTFI contains several key points:

• PTFI’s Special Mining Business Permit (IUPK) will be amended to grant an extension of resource operating rights.

• PTFI will increase its support for communities in Papua, including financial support for a new hospital and two medical education facilities.

• PTFI will increase exploration spending and further studies to identify and develop long-term resources and expansion opportunities.

• PTFI will continue to prioritise domestic downstream processing through local sales of refined copper, precious metals, sulphuric acid and other products. PTFI will also be positioned to expand marketing of its refined copper to the United States on market terms should the US require additional copper supply.

• In 2041, FCX will transfer 12% of shares in PTFI to the Indonesian government at no cost, provided that the acquiring party reimburses FCX’s pro-rata costs calculated using book value for investments benefiting the post-2041 period. FCX will retain its current 48.76% ownership in PTFI until 2041 and hold approximately 37% from 2042 onwards.

• The existing governance and operating structure, existing shareholder agreement provisions, the IUPK and other applicable agreements will continue for the life of the resources.

Freeport-McMoRan Chairman Richard C. Adkerson and President and Chief Executive Officer Kathleen Quirk expressed appreciation for the long-standing partnership with the Indonesian government. They affirmed that the mining permit extension would provide the opportunity to continue building substantial value for all stakeholders.

“The Grasberg operations have delivered substantial benefits to all stakeholders throughout their six-decade history, and this extension will provide the opportunity to continue building substantial value for all stakeholders at one of the world’s most significant copper and gold deposits,” Richard and Kathleen said in an official statement, quoted on Thursday (19 February 2026).

In closing its statement, PTFI affirmed that the extension of operating rights and other terms had been agreed to follow the issuance of a revised IUPK by the Indonesian government.

PTFI plans to promptly complete the extension application process in accordance with the agreed terms.