Jakarta. The government recently floated a plan to grant mineral exploration licenses to universities.

Julian Ambassadur Shiddiq, a senior official at the Mineral Resources Ministry, said Thursday that there were two types of mining permits: exploration and production.

A minerals exploration license allows exploration activities to identify areas that hold mineral deposits. The exploration activities should also let universities gather data on the size of the deposits. The production permit, on the other hand, lets its holders purchase, mine, and sell the minerals. According to Julian, the exploration permit would suit universities best.

“... So universities will get the mineral exploration permits,” Julian told Indonesian lawmakers in Jakarta, as reported by the state-run news agency Antara.

Government estimates show that exploration activities typically take at least 3 years with a cost of no less than Rp 100 million ($6,163) per hectare. Considering how costly it can be, Julian said that universities should manage their responsibility if they were to get the permit.

“Hopefully, they really finish the job [of identifying the mineral deposits], so no money will be lost,” Julian said.

The government has previously allowed religious groups to manage mining areas. Energy Minister Bahlil Lahadalia said that Islamic group Muhammadiyah would get a coal mine previously operated by the mining giant Adaro Energy. The group’s representative Syahrial Suandi claimed that Muhammadiyah had yet to receive the decision letter that would make the mine transfer official. Julian said that the government was still trying to identify the quantity of the coal reserves in that area before they could grant the permit to Muhammadiyah.

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