Antam to soon start operation of new ferronickel plant

IDX-listed mining firm PT Aneka Tambang Tbk (Antam) is expected to soon complete the expansion of its ferronickel plant in Pomalaa, Southeast Sulawesi, Kontan reported on Wednesday.

The paper quoted Antam Corporate Secretary Trenggono Sutioso as saying that the company is currently finalizing the construction of a 2x30 MW coal-fired power plant. ?Progress (of the power plant construction) reached 99.28 percent per March, and will reach 100 percent soon,? he said.

He said that the new ferronickel plant has already started limited production, and is expected to run at full production capacity in June of this year.

Antam started in 2014 construction of the US$573 million ferronickel plant with production capacity of 9,000 tons per year of FeNi. Once in operation, the new plant will increase the total production capacity of the Pomalaa ferronickel plant from 18,000-20,000 tons per year to 27,000-30,000 tons per year.

Elsewhere, Trenggono reiterated that Antam is teaming up with Germany?s Ferrostaal and Cronimet to develop a new ferronickel plant with production capacity of 19,500 tons per year in Pomalaa.

The companies signed a project development agreement on April 19. Antam will have a 25 percent interest in the $800 million project. (*)