MIND ID Urged to Strengthen Control Over Mineral Value Chain
MIND ID is being encouraged to strengthen its control over the national mineral value chain to ensure that the state’s majority ownership extends beyond mere shareholding. This strengthening needs to be translated through resource management, downstreaming, mastery of technology, and the creation of domestic added value.
Member of Commission XII of the Indonesian House of Representatives (DPR RI), Yulani Gunhar, stated that state control over minerals should be directed towards generating greater economic benefits for Indonesia. According to him, independent natural resource management can drive downstreaming, create jobs, and increase state revenue.
“Natural resources are processed ourselves into industries, creating added value, generating employment, and increasing state revenue, with the ultimate goal of public prosperity. This is the reason why several mineral companies merged into MIND ID,” Gunhar said during a working meeting between the MIND ID Group and Commission XII of the DPR RI in Jakarta recently.
Another member of Commission XII, Rokhmat Ardiyan, stated that MIND ID’s control over strategic mineral assets needs to be continuously expanded. This strengthening also encompasses governance, technology, and capital to bolster the company’s capacity in managing mineral resources.
“One of the goals is to increase control, improve governance, enhance technology, and if necessary, increase capital,” said Rokhmat.
He also encouraged that the control of illegal mineral assets be directed towards MIND ID to expand the company’s assets and capacity. According to him, this step is necessary to strengthen state revenue and national mineral resource control.
“We have interests for the sake of the nation and state revenue; therefore, we want MIND ID, alongside the Ministry of Energy and Mineral Resources (KESDM), to take over illegal mines so that assets and control can grow, which requires significant capital,” added Rokhmat.
Regarding Freeport Indonesia, he supported the plan to increase Indonesia’s shareholding by 12 per cent, bringing the total stake to 63 per cent. He emphasised that the process must be conducted transparently and cautiously.
“The increase in shares in Freeport must be done transparently and carefully, by 12 per cent, so that the total share portion becomes 63 per cent,” said Rokhmat.
Head of Institutional Relations at MIND ID, Selly Adriatika, stated that Indonesia’s majority position in PT Freeport Indonesia (PTFI) must be interpreted more broadly than just shareholding figures. She noted that this position serves as a mandate to integrate strategic assets with national interests.
“Indonesia’s majority ownership in PTFI must have a broader meaning than just share percentages. For MIND ID, this position is a mandate to ensure that strategic assets like PTFI can become increasingly integrated with national interests, ranging from resource management and downstreaming to supply chain mastery and the creation of domestic added value,” Selly said following the meeting with Commission XII.
Strengthening control over the mineral value chain is becoming vital as the role of strategic minerals grows within the energy, technology, infrastructure, and future industries. Indonesia is not only required to maintain resource availability but also to ensure that management strengthens national industry.
This situation necessitates that majority ownership be accompanied by the ability to exercise active ownership functions. As a strategic active holding, MIND ID can direct strategic priorities, oversee investments, drive downstreaming, and ensure that the development of mineral assets provides added value within the country.
Consequently, mineral control should not end at transactions or share ownership. Such control must be reflected in the ability to determine management direction, master the value chain, and expand economic benefits for Indonesia.