Antam revises up its nickel production for 2011

State nickel and gold miner PT Aneka Tambang Tbk (Antam) said it has revised up its nickel ore production for this year to 7.8 million wet metric tons (wmt) from 7.65 million wmt set earlier, and nickel sales volume of 6.3 million wmt compared to 5.86 million wmt set earlier.

In the first six months to June, Antam produces 3.9 million wmt of nickel ore, representing 50 percent of its 2011 target of 7.8 million wmt. Nickel ore sales volume in the first half stood at 2.9 million wmt, or 46 percent from its full 2011 target.

Antam said China has become its big market, representing 53 percent of its nickel ore exports, followed by Japan with 31 percent and Europe 16 percent

Antam currently has long-term contract with key buyers for its nickel products, namely Nippon Yakin, Minsources, Thyssen Krupp Nirosta, Posco of South Korea, Pacific Metals and Sumitomo Metals.

Antam said in the statement that it remains upbeat on nickel demand despite looming global economic crisis, due to expected rising demand from China. It predicts nickel demand to grow by an average increase of 4.3 percent per annum through to 2025.

In the first half, it produces 1,241 kg of gold, or 41 percent of its full year target of 3,025 kg, while gold sales volume reached 3,611 million wmt, or 62 percent of its full year target of 5,820 kg.

Last year, Antam produces 2,776 kg of gold and sold 6,561 kg of gold.

?We are optimistic that our Cibaliung gold production in the second semester increases,? Antam said in a presentation material lodged to the Indonesian Stock Exchange, ahead of Investor Summit later this week.

Antam sold 74 percent of its gold to domestic market, while the balance (26 percent) is sold to overseas market.(roffie)