JAKARTA, Aug 13 (Reuters) - Freeport-McMoRan Copper & Gold Inc's Indonesian subsidiary warned on Tuesday that the country's rules on mineral processing and ban on ore exports after 2014 may impact production at its Grasberg mine, the world's second-biggest copper mine.
"If there is no dispensation from the government... our mining capacity will need to be reduced ... It's very complicated," PT Freeport Indonesia CEO Rozik B. Soetjipto said at a press conference in Jakarta.
"Because of this we will continue to try to talk to the government," he added.
Freeport currently processes only around 40 percent of its ore domestically, Rozik said, but the prevailing law requires it to smelt all of it in Indonesia from January 2014.