03 Oct 2026 · TAMA Insight
Indonesia Updates the Framework for Mining Area Preparation and Exploration Assignments
Indonesia has revised the technical framework governing the preparation of Mining Areas (Wilayah Pertambangan or “WP”), Mining Business License Areas (Wilayah Izin Usaha Pertambangan or “WIUP”), and Special…
Indonesia has revised the technical framework governing the preparation of Mining Areas (Wilayah Pertambangan or “WP”), Mining Business License Areas (Wilayah Izin Usaha Pertambangan or “WIUP”), and Special Mining Business License Areas (Wilayah Izin Usaha Pertambangan Khusus or “WIUPK”).
The changes were introduced through Minister of Energy and Mineral Resources Decree No. 351.K/MB.01/MEM.B/2026 (“Decree 351/2026”), which amends Minister of Energy and Mineral Resources Decree No. 54.K/MB.01/MEM.B/2024 (“Decree 54/2024”) on Guidelines for the Implementation of Exploration and Research Assignments for the Preparation of Mining Areas, WIUP, and WIUPK.
The amendment primarily revises the procedures for identifying and proposing areas for exploration and research assignments. In particular, it adjusts the planning process, the role of geological mapping data, inter-agency coordination, and the documentation submitted to the Minister of Energy and Mineral Resources.
These changes are relevant to the administration of Indonesia’s mineral and coal mining sector, particularly in the preparation of areas that may subsequently form part of the mining licensing process.
1. Revised Approach to Mining Area Planning
Under the previous framework, the preparation of proposed assignment areas involved a recommendation process in which the Director General of Mineral and Coal requested input from the relevant geological authority, including the identification of areas requiring additional geological data.
Decree 351/2026 revises this process by providing for the Director General to prepare the proposed assignment area plan using Mining Business Area maps (Wilayah Usaha Pertambangan or “WUP”), Special Mining Business Area maps (Wilayah Usaha Pertambangan Khusus or “WUPK”), and maps delineating mineral and coal potential.
This adjustment places greater emphasis on planning by the Directorate General of Mineral and Coal based on existing spatial and geological information. The relevant geological authority continues to have a role in supporting the process through updated mapping information where requested.
The revised approach therefore changes the sequence through which proposed assignment areas are prepared, while retaining the use of geological information as part of the planning process.
2. Adjustment to the Role of the Geological Authority
The amendment also revises the involvement of the geological authority in preparing proposed assignment areas.
Under Decree 54/2024, the authority had a more direct role in providing initial recommendations concerning areas requiring further geological information. Under the amended framework, its role is more specifically directed toward providing updated maps of mineral and coal potential when requested by the Director General.
This change is accompanied by a revised planning process in which the Director General prepares the proposed areas using the relevant WUP or WUPK maps and potential delineation data.
From an administrative perspective, the amendment places greater emphasis on the Director General’s role in coordinating the preparation of proposed assignment areas, supported by geological mapping information from the relevant authority.
3. Earlier Consideration of Technical and Policy Factors
The revised procedure also incorporates certain technical and planning considerations into the preparation of proposed assignment areas.
These include domestic mineral requirements and plans for mineral processing and refining. Under the previous procedure, such considerations were addressed during the review of proposed areas. The amended framework incorporates them into the planning process itself.
This arrangement provides a basis for considering relevant domestic supply and downstream processing considerations at an earlier stage of area preparation.
For mining stakeholders, the change is relevant to understanding how mineral and coal potential, domestic requirements, and processing considerations may be taken into account when proposed assignment areas are developed.
4. More Structured Coordination and Map Updates
Decree 351/2026 introduces a more defined procedure for updating potential area delineation maps and adjusting the proposed assignment area plan.
Under the amended procedure, the Director General is to request updated mapping information from the relevant geological authority by written correspondence within 14 working days. Following receipt of the updated maps, the Director General is to adjust the proposed assignment area plan within 10 working days.
Compared with the previous procedure, which included discussions involving relevant government authorities and the documentation of meeting results, the revised arrangement places greater emphasis on written coordination and specified timeframes.
The amendment consequently provides a clearer procedural sequence for obtaining updated mapping information and incorporating it into the proposed area plan.
5. Revised Submission Requirements to the Minister
The amendment also changes the documentation accompanying the Director General’s proposal to the Minister.
Under the previous framework, the submission included regional recommendations, meeting minutes, and other supporting documents. Under the revised procedure, the supporting materials include updated maps, a Governor’s proposal where available, and evidence of notification to other relevant ministries or agencies.
This adjustment places greater emphasis on updated spatial information and inter-agency notification in the submission process.
The revised documentation requirements may also simplify certain administrative steps involved in submitting proposed assignment areas for ministerial consideration.
6. Relationship with the Mining Licensing Framework
The revised procedures should be considered within Indonesia’s broader mining and business licensing framework.
Minister of Energy and Mineral Resources Regulation No. 14 of 2023 governs the procedures for exploration and research assignments for the preparation of WP, WIUP, and WIUPK. Government Regulation No. 25 of 2023 provides the broader regulatory framework for Mining Areas, while Decree 54/2024, as amended by Decree 351/2026, sets out the relevant technical guidelines.
Separately, Government Regulation No. 28 of 2025 governs the implementation of risk-based business licensing and replaces Government Regulation No. 5 of 2021. The business classification framework under the 2025 Indonesian Standard Industrial Classification (Klasifikasi Baku Lapangan Usaha Indonesia or “KBLI”), established by Statistics Indonesia Regulation No. 7 of 2025, also forms part of the broader administrative context for business activities, including mining.
These instruments address different aspects of the regulatory framework. The preparation of mining areas and exploration and research assignments should therefore be distinguished from the subsequent licensing requirements applicable to mining activities under the relevant risk-based licensing provisions.
7. Continuing Application of Decree 54/2024
Decree 351/2026 amends Decree 54/2024 rather than replacing the entire instrument.
Accordingly, the provisions of Decree 54/2024 that have not been amended remain applicable. For matters specifically revised by Decree 351/2026, the amended provisions should be referred to when applying the guidelines.
Decree 351/2026 is stated to take effect on 1 September 2026. Based on the status information provided, it remains in force, while Decree 54/2024 continues to apply in its amended form.
8. Implications for Mining Sector Stakeholders
The amendment primarily concerns the administrative and technical preparation of areas for exploration and research assignments. Its principal changes relate to the preparation of proposed areas by the Director General, the use of updated geological mapping information, the incorporation of relevant planning considerations, and the documentation and timing of inter-agency coordination.
For businesses and other stakeholders involved in the mineral and coal mining sector, these developments provide relevant context for monitoring the preparation of potential mining areas and the regulatory processes preceding mining-related licensing.
The practical implications for any particular project will depend on the relevant area, the applicable assignment procedure, and the licensing requirements governing the proposed activity.
This alert is part of a series examining regulatory developments affecting Indonesia’s mining, energy, and natural resources sectors. Please feel free to contact us should you wish to discuss these developments further.
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