Antam starts new S.E Sulawesi nickel mining operation

Indonesia-listed miner PT Antam (Persero) Tbk announced on Monday it has started operation at its new mine in Tapunopaka, Southeast Sulawesi.

Export of nickel ore from Tapunopaka will initially amount to 50,000 wet metric tons (wmt), he said.

The Tapunopala mine will strengthen Antam?s nickel mining operations in the area. Aside from the Tapunopaka, the firm operates three nickel mines located respectively Pomalaa, Gee and Buli and three ferronickel smelters at Pomalaa, Southeast Sulawesi, the company said in statement.

?The nickel operation at Tapunopaka will support not only our commitment to meeting export demand of nickel ore but to also add value through processing activities. We plan to use the ore from Tapunopaka to feed our ferronickel smelters at Pomalaa in line with the depletion of nickel reserves at the location as well as to feed the Mandiodo Nickel Pig Iron (NPI) project in 2014 when the obligation of domestic ore processing comes into effect, ?Antam?s development director Tato Miraza, said.

The Tapunopaka nickel mine is designed to have an annual production capacity of 1.5 million wmt. Tapunopaka has 7.1 million wmt of high grade potential nickel resources with a grade of 2.3% and 43.7 million wmt of low grade potential nickel resources with a grade of 1.6%.

Antam had spent Rp 75 billion (1US$ = Rp 9,000) to starat activities at the 6,213 hectares Tapunopaka nickel mine, included for exploration activities. (denny)