Antam looks for partner to develop W. Papua nickel project

IDX-listed State mining firm PT.Aneka Tambang Tbk is looking for new partner to develop its nickel reserves in gag Island, West Papua after Anglo-Australian resources giant BHP Billiton pulled out of the project.

Antam CEO Alwinsyah, however, said partner was hard to find in current condition of low nickel price. ?So far, we haven?t been able to attract potential partner for the project. But we hope situation to change next year, when nickel price will be improving,? he said.

Antam now holds 100 percent shares in Gag Island nickel concession after BHP Billiton transferred its 75 percent shares in the project to Antam in 2008.

BHP transferred its shares in PT.Gag Nikel to Antam following decision in November 2008 to end a study into integrated nickel development in Eastern Indonesia. The study has not been able to identify a business case which would support an investment in the project, BHP Billiton said in 2008.

Earlier reports said that Gag Island has a nickel resource of 216 million tons. (bernard)