Indonesia is widely recognized as one of the world’s most resource-rich countries. Its mining sector plays a strategic role in driving national economic growth, contributing significantly to exports, government revenue, and job creation. Below are the five largest mines in Indonesia that continue to shape both the domestic and global resource industries.
1. Grasberg Mine – Papua
Commodities: Gold & Copper
Operator: PT Freeport Indonesia
The Grasberg Mine is one of the largest gold and copper mines in the world. Located in Papua, it holds world-class mineral reserves and is a major contributor to Indonesia’s state revenue.
Today, Grasberg operates primarily as a large-scale underground mining complex, making it one of the most technologically advanced mining projects globally. In addition to gold, its copper output is essential for global industrial applications.
Key facts:
-
Among the world’s largest gold mines
-
Major contributor to Indonesia’s non-tax state revenue
-
Advanced underground mining operations
2. Sangatta Coal Mine – East Kalimantan
Commodity: Coal
Operator: PT Kaltim Prima Coal (KPC)
The Sangatta Mine is the largest open-pit coal mine in Indonesia and one of the largest globally. Its production supplies both domestic power plants and international energy markets, particularly across Asia.
Coal from Sangatta is known for its competitive calorific value, making it highly desirable for export markets.
Key facts:
-
One of the world’s largest open-pit coal mines
-
Strong export orientation
-
Backbone of Indonesia’s coal industry
3. Morowali Nickel Mining Area – Central Sulawesi
Commodity: Nickel
Operator: Indonesia Morowali Industrial Park (IMIP and partners)
Morowali has emerged as Indonesia’s largest nickel mining and processing hub. The region plays a crucial role in the global supply chain for electric vehicle (EV) batteries and stainless steel.
Through downstream industrial integration, Indonesia has positioned Morowali as a key player in the global energy transition.
Key facts:
-
Largest nickel mining cluster in Indonesia
-
Integrated mining and smelting operations
-
Strategic role in EV battery production
4. Batu Hijau Copper Mine – West Nusa Tenggara
Commodities: Copper & Gold
Operator: PT Amman Mineral Nusa Tenggara
The Batu Hijau Mine on Sumbawa Island is Indonesia’s second-largest copper mine after Grasberg. Operating since the early 2000s, the mine continues to expand through underground development projects.
Batu Hijau is widely recognized for its high operational and environmental standards, making it one of Indonesia’s most reliable mineral producers.
Key facts:
-
International-scale copper producer
-
Supports Indonesia’s mineral exports
-
Ongoing underground mine development
5. Bauxite Mines – Bintan & West Kalimantan
Commodity: Bauxite
Operators: Multiple national companies
Indonesia holds one of the largest bauxite reserves in Southeast Asia, primarily located in Bintan (Riau Islands) and West Kalimantan. Bauxite is the main raw material for aluminum, which is vital for construction, automotive, and manufacturing industries.
Government downstream policies have encouraged the development of alumina refineries, increasing domestic value creation.
Key facts:
-
Strategic bauxite reserves
-
Supports Indonesia’s aluminum industry
-
Strong focus on mineral downstream processing
The Economic Role of Major Mines in Indonesia
These large-scale mining operations contribute significantly to:
-
Government revenue through taxes and royalties
-
Export earnings and foreign exchange reserves
-
Employment and regional economic development
-
Infrastructure growth in remote areas
However, the industry also faces major challenges related to environmental protection, social responsibility, and sustainability, making responsible mining practices essential.
Conclusion
The five largest mines in Indonesia highlight the country’s strategic position in the global mining industry. With continued investment in technology, responsible resource management, and sustainable practices, Indonesia’s mining sector is well-positioned to remain a key driver of long-term economic growth.