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Jakarta - Indonesia's government was scrambling on Friday to pass last-minute regulations to limit the impact of a controversial ban that could halt billions of dollars worth of unprocessed mineral ore exports from Sunday.
The southeast Asian nation is the world's biggest exporter of nickel ore, refined tin and thermal coal and home to the fifth largest copper mine and top gold mine.
Mineral shipments totalled $10.4bn in 2012, or around 5% of Indonesia's total exports, according to the World Bank.
Mining law
The ban aims to boost Indonesia's long-term returns from its mineral wealth, but officials fear a short-term cut in foreign revenue could widen the current account deficit, which has undermined investor confidence and battered the rupiah currency.
Despite having more than five years to prepare for the mining law, officials just days ahead of the ban were rushing to try to soften the potential blow of the new policies.
The vice minister of the energy and mines ministry, Susilo Siswoutomo, said: "The government of Indonesia will still implement the mining law consistently, but we also want to make sure its effect won't be too troublesome and lead to the laying off of workers."
Maximise
Mining companies, such as Freeport McMoRan Copper & Gold , have been ramping up shipments ahead of Sunday's deadline, uncertain whether they will be able to continue after that.
"We are still on to ship. Obviously, the only thing we will try is to maximize our shipments," said Daisy Primayanti, spokesperson for Freeport Indonesia.
The mining ministry has approved regulations that would allow Freeport, Newmont Mining Corp and others to continue to ship copper, manganese, lead, zinc and iron ore concentrate until 2017.
But nickel ore and bauxite exports worth more than $2bn annually would still be banned from Sunday, while coal and tin shipments would not be affected.
