Antam to up stake at Weda Bay nickel project

IDX-listed state mining firm PT Aneka Tambang Tbk (Antam) said it has reach deal with French mining firm Eramet SA to increase stake at Weda Bay nickel project in Halmahera, North Maluku, to 40 percent from 10 percent currently.

Antam CEO Alwinsyah Loebis was quoted by Kontan daily as saying that the deal would be executed in 2011.

The Weda Bay deposit is one of the largest undeveloped nickel projects globally, with an updated 5.1 million tons nickel contained in measured, indicated and inferred ore resources, with a targeted additional annual capacity of up to 65 000 tons of nickel. The project would use a hydrometallurgical process developed by ERAMET at its research centre in France.

The Weda Bay nickel project is operated under PT Weda Bay Nickel (WBN), which is 90 percent owned by Strand Minerals (Indonesia) Pte Ltd. Eramet Controls 66 percent stake at Strand with the balance held by Japan's Mitsubishi Corp. Antam currently has 10 percent stake at WBN. (alex)