KEY POINTS
- Eramet has restarted mining at Indonesia’s Weda Bay nickel mine.
- The mine previously exhausted its 12-million-tonne 2026 quota.
- Eramet will later update its 2026 nickel sales guidance.
French mining and metals group Eramet has begun a gradual restart of operations at the Weda Bay nickel mine in Indonesia after suspending production earlier this year because it had exhausted its approved mining quota.
Eramet said mining activities at Weda Bay Nickel (WBN) are resuming progressively following authorisation from Indonesian authorities.
The restart comes as uncertainty over Indonesia’s mining permits continues to weigh on Eramet’s financial performance. The company said it would provide an update on its 2026 guidance for external nickel ore sales at a later date.
Indonesia, the world’s largest nickel producer, reduced mining quotas this year as part of efforts to exercise greater control over production, commodity exports and prices.
Weda Bay’s operations were placed on care and maintenance in May after Eramet said the mine had exhausted its initial 2026 production allowance of 12 million wet metric tons.
That allocation was significantly lower than the 32 million wet metric tons approved for the mine in 2025, highlighting the impact of Indonesia’s tighter controls on mining volumes.
Eramet did not disclose whether WBN has received an additional mining allowance for the rest of 2026. An Eramet spokesperson also declined to provide further details.
Mine restart lifts Eramet shares
News of the restart initially boosted investor sentiment, with Eramet shares rising about 5% in early trading in Paris before giving up part of the gain.
The uncertainty surrounding Indonesian mining permits has contributed to weak financial results for Eramet. The company is also preparing a capital increase and plans to sell stakes in some of its activities as it works to strengthen its finances.
Weda Bay is described as the world’s largest nickel mine and is a strategically important asset for Eramet. The French group jointly owns WBN with Chinese steelmaker Tsingshan and Indonesian state-owned mining company Antam.
The gradual resumption of mining provides some relief for it, but the company’s 2026 nickel sales outlook remains dependent on the availability of mining permits and the outcome of its ongoing discussions with Indonesian authorities
It said WBN remains in constructive dialogue with the government as operations restart.
