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 1871 in West Java but
it was not till 1883 that the first successful oil well was
drilled in North Sumatera and the first commercial oil field
established. Since then there have been several oil discoveries,
including those off-shore. 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.
Indonesia is the third largest producer of tin in the world.
Copper is found throughout the archipelago. There are also large
deposits of nickel oxide, bauxite, gold, lead, manganese, silver,
titanium, uranium, zinc, etc.