Indonesia Partners with French Company to Study Critical Mineral Potential

MINERAL COMMODITY - JAKARTA. The Geological Agency of the Ministry of Energy and Mineral Resources (ESDM) and French company, Eramet Indonesia, are collaborating to assess the potential of critical minerals in Indonesia.

This partnership is expected to strengthen the electric vehicle ecosystem, contributing to the development of the energy transition sector in Indonesia.

Muhammad Wafid, the head of the Geological Agency of the Ministry of ESDM, stated that Eramet possesses the necessary technology to tap into Indonesia's lithium potential. This collaboration will encompass the entire Indonesian region.

"We will explore from anywhere, including small-scale as a by-product of a mining activity or an energy activity," Wafid explained in Jakarta on Tuesday (7/5).

Wafid further elaborated that the implementation of this collaboration is targeted to commence by August this year at the latest.

The partnership was formalized through the signing of a cooperation agreement by the Head of the Center for Mineral and Geothermal Resources (PSDMBP) Agung Pribadi and Eramet Indonesia Director Bruno Faour, witnessed by the Special Staff of the Minister of ESDM for Acceleration of Minerba Governance Irwandy Arif and Deputy Head of the Economic Department of the French Embassy for Indonesia, Pauline Leduc.

Irwandy expressed that the Ministry of ESDM welcomes the opportunity to collaborate with Eramet Indonesia. He believes that electric vehicles are currently a government focus amidst energy transition efforts and require cooperation, including joint studies, for their development.

"Joint studies on critical minerals, especially regarding the potential lithium reserves in undeveloped areas in Indonesia, have never been conducted before. Ultimately, this study plays a role in understanding Indonesia's potential in the electric vehicle industry supply chain and helps develop the electric vehicle industry strategy in Indonesia," said Irwandy on Monday (6/5).

This partnership between the Geological Agency's PSDMBP and Eramet Indonesia is a follow-up to the Memorandum of Understanding (MoU) conducted by the French and Indonesian Governments in the field of Energy and Mineral Resources in 2011.

The partnership includes a joint study on critical minerals in Indonesia, including a study on the potential of lithium resources. Various aspects ranging from technical studies, exploration to human resource capacity development are part of the five-year cooperation.

On the same occasion, Faour expressed enthusiasm for Eramet Indonesia's collaboration with the Geological Agency. Faour affirmed Eramet Indonesia's commitment to be part of the Indonesian Government's efforts to achieve energy transition targets.

"Eramet is committed to supporting the Indonesian government's efforts to become a responsible global player in driving the world's energy transition. This partnership is an important step in ensuring the resources available to supply the metals needed in the energy transition. Eramet will contribute its international-scale expertise to the Indonesian government in the field of energy transition metals," said Bruno.

After witnessing the signing, Leduc expressed her support for this cooperation and highlighted the importance of international partnerships in promoting the sustainable development of the mineral sector in Indonesia.

"Indonesia is an important partner for France and this partnership demonstrates the close relationship between France and Indonesia. We hope this partnership can build a closer synergy between the private sector and the government, especially in the electric vehicle battery ecosystem," said Leduc.

This first-time partnership between the Geological Agency and Eramet Indonesia reflects a significant milestone in Indonesia's journey as a major player in the global electric vehicle industry.

Going forward, both parties will collaborate to actively contribute to Indonesia's sustainable electric vehicle growth. Eramet Indonesia is committed to becoming a key partner in positioning Indonesia as a global electric vehicle hub, focusing on responsible mineral resource processing.