Antam still seeking investors for W. Kalimantan alumina project

Publicly listed general mining firm PT Aneka Tambang Tbk (Antam) says it is still seeking new investors to develop Tayan alumina project in West Kalimantan, which had initially planned to be carried out by two Japanese investors.

?Up until today we are still trying to find investors who are willing to cooperate with us for the project,? Antam president director Deddy Aditya Sumanagara told Petromindo.Com on Thursday.

Deddy said however his company wants the so-called Mining Contract (KP) to start the aluminum project, and not Contract of Work (KK). The KPs are issued by the government and do not need House approval.

The project is valued at US$177 million, and had been planned to be able to produce 300,000 tons of chemical grade alumina per year from the huge bauxite deposit in Tayan, West Kalimantan.

Deddy said so far the Japanese investors had not made clear whether or not to continue their plan of developing the chemical project. He did not mention the names of the investors however.

The Japanese investors reportedly had late last year reconsidered their involvement in the project due to the slow progress of the project plan. They complained about contract uncertainty and lack of legal framework related to the plan.

Antam is a state oil firm and listed on the Jakarta Stock Exchange and Australia Stock Exchange.

The company mines for nickel and gold in Central Sulawesi and West Java, respectively.

It had planned to build its third ferronickel facility in Pomalaa, Central Sulawesi. (Godang)