Antam applies for tax holiday for downstream projects

State owned mining company PT Aneka Tambang Tbk (Antam) has officially submitted application for tax holiday from the government to support two of the company?s downstream projects worth about Rp 18 trillion (about US$2 billion).

Antam President Director Alwin Syah Lubis said in Jakarta on Wednesday that the company had applied for tax holiday from the Investment Coordinating Board (BKPM) and Industry Ministry for the company?s downstream projects. Alwin said that the tax holiday would be required for the ferronickel project worth $1.6 billion or about Rp 14.68 trillion in East Halmahera and smelter grade alumina project worth $450 million or Rp 4.13 trillion in West Kalimantan.

Antam is developing six downstream projects worth $3.1 billion or about Rp 28.44 trillion to process its mineral production. At present, Antam is developing six projects including the chemical grade alumina plant in Tayan, the ferronickel processing plant in East Halmahera, the sponge iron plant in South Kalimantan (Meratus Jaya Iron & Steel), the nickel project in Mandiodo, renovation of the ferronickel plant in Pomalaa, and the smelter grade alumina plant in Menpawah.

In addition to Antam, two other companies PT Unilever Oleokimia Indonesia and PT Chandra Asri Petrochemical have also applied for similar tax holiday to the BKPM and the Industry Ministry. (*)