Energy and Mineral Resources Minister Bahlil Lahadalia said the management of rare earth elements will be placed under the full state control following the establishment of the Mineral Industry Agency, a new agency to oversee strategic minerals.

Thus, private companies or the public would no longer be permitted to handle the rare earth resources, he told journalists at the State Palace here on Monday.

“From now on, rare earths will be managed only by the state. We are still finalizing the rules, so please wait for the official regulations,” Bahlil said.

This Mineral Industry Agency will focus on research and industrial development to boost value-added processing of minerals, including rare earths, which are critical to clean energy technologies and carry high market value, he said.

Under the new structure, the Energy and Mineral Resources Ministry will handle raw material supply, while the agency will manage downstream activities and end-product strategies, Bahlil said.

“The new agency will take care of the end products, while we focus on preparing the raw materials,” he pointed out.

President Prabowo Subianto officially appointed Higher Education Minister Brian Yuliarto as the head of the new agency on Monday under Presidential Decree No. 77P/2025.

The Mineral Industry Agency replaces the role previously held by the Directorate General of Minerals and Coal under the Energy and Mineral Resources Ministry.

This move is part of a bigger plan to build Indonesia’s mineral industry and meet growing global demand for materials used in clean energy and battery technologies, including nickel, bauxite, copper, and rare earths.