Indonesia is rich in minerals although only less than half the
country's geology has been explored. Oil and gas accounts for a
major part of the nation's foreign exchange earnings.
Exploration of oil dates back to 1 871 in West Java but it was not
till 1883 that the first successful oil well was drilled in North
Sumatra and the first commercial oil field established. Since then
there have been several oil discoveries, including those off-shore.
PT Pertamina, the state-owned oil company has the sole right in
oil and gas production which is carried out mainly by a production
sharing agreement with foreign oil companies.
Apart from oil and gas, exploitation of geothermal reserves are
being accelerated, coal production is increasing. Copper is found
throughout the archipelago. There are also large deposits of nickel
oxide, bauxite, gold, lead, manganese, silver, titanium, uranium,