4 Smelters will Become Operational in 2021, Says Mineral and Coal Director General

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 195.Pers/04/SJI/2021

Date: 8 June 2021

4 Smelters will Become Operational in 2021, Says Mineral and Coal Director General

Director General of Mineral and Coal of Indonesian Ministry of Energy and Mineral Resources (EMR), Ridwan Djamaluddin, has set a target that four mineral processing and refining facilities (smelters) will be fully constructed and become operational in 2021.

"In 2021, we've set a target to have a total of 23 smelters, with this additional 4 new smelters," said Ridwan in a Hearing (RDP) between the Ministry of EMR and Commission VII of the House of Representatives of the Republic of Indonesia (DPR RI) on Monday (8/6).

Two additional smelters have been constructed 100 percent, namely the nickel smelters belonging each to PT Smelter Nickel Indonesia and PT Cahaya Modern Metal Industri.

PT Smelter Nickel Indonesia has completed production trials. However, the plant has stopped temporarily because it is waiting for additional funds for operations. Meanwhile, PT Cahaya Modern Metal Industri in Banten has started production. "The smelter was even visited by Commission VII," said Ridwan.

The other two smelters in the construction phase are a ferronickel smelter of PT Aneka Tambang Tbk (Antam) in East Halmahera, North Maluku and a lead smelter of Prima Citra in Central Kalimantan.

Specific for Antam's smelter, Ridwan reported that construction had reached 97.7%. This project is hampered by electricity supply, so the smelter has not yet come online. "I was updated by the board of directors of Antam that the tender (for power supply) has been put out," he said.

The government hopes that by July 2021, the electrical installation works will be complete. "And hopefully in the near future, in July, the electrical installation works at the smelter will be complete," hoped Ridwan.

Meanwhile, the lead smelter Prima Citra in Central Kalimantan has been constructed 99.87%, but production will have to wait for engineers from China. "It's still waiting for engineers from China to start smelter production; they'll come this June 2021," continued Ridwan.

For the record, the Indonesian government has set a target to operate 23 smelters in 2021, consisting of 16 nickel smelters, two copper smelters, two bauxite smelters, one iron smelter, one manganese smelter, and one lead and zinc smelter. By 2024, a total of 53 smelters are targeted to become operational. (IY)

Head of Bureau of Communication, Public Information Services, and Cooperation

Agung Pribadi (08112213555)

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