Antam, Inalum to have 51% stake in alumina plant project
Tuesday, November 14 2017 - 01:16 AM WIB
State-controlled mining firm PT Aneka Tambang Tbk (Antam), state-owned aluminum producer PT Indonesia Asahan Aluminum (Inalum), and China Aluminum Corporation Ltd (Chinalco) will set up a joint venture company that would develop and operate a planned smelter grade alumina plant in Mempawah, West Kalimantan Province.
The Ministry of Energy and Mineral Resources said in a statement obtained Tuesday that Antam and Inalum will have at least 51 percent shares in the JV.
The statement, however, did not specifically said over whether the three companies have finally reached agreement on the ownership structure of the JV. The three signed a MoU in 2015 to develop the SGA plant, which will have annual installed production capacity of 2 million tons per annum, but will initially start with a 1 mtpa capacity in a project estimated to cost US$1.5 billion to $1.8 billion.
The three have been engaged in lengthy negotiations over the ownership structure of the JV. It is also remains unclear how much shares Antam and Inalum will each have in the project.
The ministry said that Antam has bauxite proven reserves of around 200 million tons.
Editing by Reiner Simanjuntak