The cobalt price on the London Metal Exchange today is USD 29,210 per ton, up 5.26% from the previous trading day's close, while the nickel price is USD 16,493 per ton, down 0.35%, far below the record high prices from 2022-2023. The cobalt content in nickel ore traded in 2023-2024 was approximately 0.1%. If royalties are imposed on cobalt, the government could increase revenue by around USD 600 million. Some have proposed that the government impose royalties on associated cobalt in nickel ore, rather than raising the progressive royalty rate on nickel ore itself. Currently, cobalt is not included in the mineral categories subject to royalties, but the Directorate General of Minerals and Coal of the Ministry of Energy and Mineral Resources has proposed a single-rate royalty of 1.5% for cobalt and a single-rate royalty of 2% for associated cobalt in nickel matte. However, this proposal does not include a price calculation formula for cobalt ore, which may lead to implementation confusion. Since 2023, Indonesia has become the world's second-largest cobalt producer, and its cobalt production is expected to account for nearly 20% of global output by 2030. Currently, cobalt is not subject to royalties. The Directorate General of Minerals and Coal has also proposed increasing progressive royalty rates for base metals such as coal, nickel, copper, and tin, as well as imposing royalties on minerals that were previously not subject to royalties, such as diamonds, silver nitrate, and cobalt.
The cobalt price on the London Metal Exchange today is USD 29,210 per ton, up 5.26% from the previous trading day's close, while the nickel price is USD 16,493 per ton, down 0.35%, far below the record high prices from 2022-2023. The cobalt content in nickel ore traded in 2023-2024 was approximately 0.1%. If royalties are imposed on cobalt, the government could increase revenue by around USD 600 million. Some have proposed that the government impose royalties on associated cobalt in nickel ore, rather than raising the progressive royalty rate on nickel ore itself. Currently, cobalt is not included in the mineral categories subject to royalties, but the Directorate General of Minerals and Coal of the Ministry of Energy and Mineral Resources has proposed a single-rate royalty of 1.5% for cobalt and a single-rate royalty of 2% for associated cobalt in nickel matte. However, this proposal does not include a price calculation formula for cobalt ore, which may lead to implementation confusion. Since 2023, Indonesia has become the world's second-largest cobalt producer, and its cobalt production is expected to account for nearly 20% of global output by 2030. Currently, cobalt is not subject to royalties. The Directorate General of Minerals and Coal has also proposed increasing progressive royalty rates for base metals such as coal, nickel, copper, and tin, as well as imposing royalties on minerals that were previously not subject to royalties, such as diamonds, silver nitrate, and cobalt.