Brief

Indonesia’s Ministerial Regulation No. 11 of 2025 sets the complete national procedure for sponsoring and overseeing prospecting, exploration, exploitation, and utilization of minerals from the International Seabed Area. It specifies Support Certificates and Work Plans, mirrors International Seabed Authority processes, fixes ministerial decision timelines, prescribes quarterly, annual, and final reporting, mandates comprehensive data delivery and confidentiality, and establishes pricing and non‑tax state revenue rules for sales, with supervision and sanctions to ensure compliance. 

Origins

The Minister issued the regulation to carry out identified articles in Presidential Regulation No. 80 of 2023 on Indonesia’s active role in the International Seabed Area, with references to constitutional and ministerial framework laws and ministerial organization. It takes effect on promulgation. 

Scope, Definitions, and Duties

The regulation applies to mineral management and utilization in the International Seabed Area beyond national jurisdiction. It defines key terms including the Authority, Support Certificate, Contractor, and the national coordination team, and imposes a duty on rights holders to ensure all personnel and contractors comply. 

Prospecting

Prospecting by the Minister or enterprises proceeds after the Authority records the notification. Enterprise applications to the Minister must include business identification, qualified personnel, a prospecting plan with coordinates, methods, sampling and laboratory analysis, and a budget; declarations to comply with UNCLOS and Authority regulations, to deliver prospecting data, to undertake mitigation documentation, and to accept Authority compliance verification; and any cooperation plans. The Minister evaluates completeness and either forwards the notification to the foreign minister or rejects it within fifteen working days. Prospecting is prohibited in Authority contract and reserve areas and in areas the Authority designates as prohibited due to serious environmental risk. Reasonable mineral quantities may be taken for sampling with Authority approval. Completing prospecting and meeting targets gives priority for a Support Certificate for exploration. 

Exploration

An enterprise requires a Support Certificate from the Minister. Criteria include exploration qualifications and the continuing compliance of the applicant and the sponsor. Administrative, technical, environmental, and financial requirements must be met, including an integrity pact, a Work Plan consistent with Authority regulations, a training plan, environmental management and mitigation documents, insurance recognized internationally for accidents and pollution with liabilities, audited financial statements or a parent guarantee for new entities, evidence of at least thirty million USD spent on research and or exploration as required by Authority regulations, sufficient and committed funding, and banking or non‑bank financing support. The Minister may involve the coordination team and must issue or reject the Support Certificate within fifteen working days. The Support Certificate includes identity, mineral, activity stage, coordinates, conditions, term, rights and obligations, supervision and revocation clauses, sponsorship and effective control statements, ratification date, and UNCLOS Article references. Exploration may start only after the exploration Work Plan is approved and appears in the Authority contract. The Work Plan must include area boundaries and coordinates to international standards, a work and budget plan with facilities, a training plan, an initial environmental impact assessment and measures to prevent, mitigate, and manage impacts, and any other items required by Authority regulations. The Minister evaluates the Work Plan, may involve the coordination team, and issues approval within fifteen working days. The Minister forwards the Support Certificate and approved Work Plan to the foreign minister, who submits them to the Authority. The Authority either returns the Work Plan for correction or forms an exploration contract with the enterprise and notifies the foreign minister, who forwards returns or approvals to the Minister within three working days. The Minister then notifies the enterprise within three working days. The exploration term is up to fifteen years and may be extended once for up to five years if requested no later than six months before expiry. Area reduction follows the Authority’s schedule. Any change in exploration funding requires prior ministerial approval. 

Exploitation

An enterprise requires a Support Certificate for exploitation. The Minister issues or rejects the certificate based on criteria and requirements that refer to Authority regulations and include administrative, technical, environmental, and financial components. An enterprise that holds a Support Certificate and has conducted exploration in the International Seabed Area is guaranteed to obtain a Support Certificate for exploitation. Exploitation may proceed only after the exploitation Work Plan is approved and incorporated into a contract with the Authority. The Minister evaluates the exploitation Work Plan, may involve the coordination team, issues approval within fifteen working days, and forwards the Support Certificate to the foreign minister for Authority submission. 

Utilization, Pricing, and Non‑Tax State Revenue

Minerals from exploitation are used for national interests through domestic processing, overseas processing for domestic downstream industry, and or overseas sales and marketing. Minerals entering Indonesia’s customs territory for processing receive equal treatment to domestically mined minerals, including import duty and import value‑added tax exemptions in accordance with Indonesian law. The Minister sets the sales price, potentially informed by the coordination team. Each shipment transaction is subject to non‑tax state revenue and must be recorded and reported as part of periodic reporting, following ministerial procedures and laws on non‑tax revenue types and tariffs. Sales and marketing of processed and value‑added minerals must follow trade laws. 

Rights & Obligations

Exploration contractors have exclusive exploration rights within their Work Plan area, a guarantee from the Authority to be the sole entity in the approved area, and priority preference for an exploitation contract. Exploitation contractors have exclusive exploitation rights, a guarantee to be the sole entity, the right to sell minerals under Authority rules, and the right to cooperate with other parties for extraction and processing. Contractors must comply with national law, UNCLOS, the Implementation Agreement, and Authority regulations; meet Support Certificate conditions; fulfill cooperation agreements; place environmental management guarantees; meet all Authority contract obligations; pay national financial obligations including sponsorship request fees, taxes, customs and excise, annual fees, production fees, and other fees set in exploitation agreements; and submit reports to the Minister and the Authority, including proof of sponsorship fee payment.

Reporting

Quarterly reports are required for exploration or exploitation progress and environmental protection and risk mitigation. Annual reports by prospecting implementers and Contractors must include mineralization indication maps and recommendations and be submitted to the Minister and the Authority according to Authority timelines. Final reports are required for prospecting and for exploration, with exploration final reports including data and information, area maps, results, and estimates of resources and or reserves. The Minister and relevant ministers conduct guidance that includes Work Plan implementation, performance and qualification assessment, training and capacity building, and issuance of modules and technical guidelines. Supervision covers technical exploration and exploitation, business feasibility, production and marketing, finance, data processing, safety, environmental management, domestic workforce development, and technology mastery and application, with detailed elements for construction and commissioning, mining, processing and or refining, transport, business planning and costs, feasibility studies, contracts and verification, financial health, data handling, safety and health, environmental compliance, workforce training and localization, and technology testing and approvals as provided by law and Authority regulations. Performance assessment is based on compliance with approved Work Plans and report content. Failure to meet evaluation results and lack of commitment to improvement can trigger revocation of the Support Certificate without prior administrative warning stages. 

Data & Information

Enterprises and foreign enterprises must secure and keep confidential data and information according to Authority rules and submit all data to the Minister with maps. For exploration the minimum dataset includes bathymetry, geological mapping, geophysical analyses, laboratory analyses, interpretation maps, mineral management costs, sections and logs, three‑dimensional models, area status or condition, and resource and or reserve estimates and quantities. Confidential data include personnel and employee health matters and data categorized as confidential by the Authority or by the Government as sponsor. Submission and categorization must follow Authority rules and may be excepted by contract or in consultation with the Authority. 

Key Takeaways

  • Sets a full sponsorship pathway for prospecting, exploration, and exploitation with Support Certificates and Work Plans tied to Authority approval and contracts. 
  • Fixes decision and transmittal timelines, an exploration term up to fifteen years with one extension up to five years, mandatory area reduction, and funding‑change approvals. 
  • Requires quarterly, annual, and final reporting, comprehensive data delivery and confidentiality, and detailed national supervision across technical, environmental, financial, and workforce domains. 
  • Establishes minister‑set sales pricing, records non‑tax state revenue on shipments, and applies equal customs and VAT treatment for minerals brought into Indonesia for processing as provided by law.