Video: Nickel Ore Production Cut in 2026, Miners Reveal Impacts

Jakarta, CNBC Indonesia - The Ministry of Energy and Mineral Resources is reportedly targeting Indonesia’s nickel ore production at 209 million tonnes in 2026, a significant drop from 379 million tonnes in 2025, as a measure to stabilise global nickel ore prices while adjusting to the capacity of domestic smelters.

Responding to the new nickel ore production quota policy, Andi Jaya, Director of PT Central Omega Resources Tbk (DKFT), views the objective positively for maintaining nickel price stability, considering Indonesia’s position as the world’s primary nickel producer. However, Andi Jaya states that the policy should be implemented prudently, taking into account domestic needs, as it could lead to shortages of raw materials for local smelters.

Furthermore, the reduction in the 2026 Work Plan and Budget (RKAB) is expected to consider the conditions of mining business permits (IUP), as it will impact the sustainability and fulfilment of miners’ business targets. If the production targets for IUP holders do not align with company plans, it will harm the companies, disrupt business continuity, and lead to layoffs.

What is the miners’ response to the 2026 nickel RKAB cut? Shafinaz Nachair with Andi Jaya, Director of PT Central Omega Resources Tbk (DKFT), in Closing Bell, CNBC Indonesia (Monday, 13/04/2026)