Bintang Delapan halfway to complete smelter project

Nickel mining company PT Bintang Delapan Mineral (BDM) said that construction of its US$650 million ferronickel smelter in Bungku, Morowali Regency, Central Sulawesi, has covered 50 percent of the targeted works, and is on track to start production early next year.

?The smelter will produce ferronickel with a capacity of 300,000 tons per year,? BDM plant Manager William Bun said following a tour by Central Sulawesi Governor Longki Djanggola of the project site on Wednesday.

He added that the company is also constructing a 130 MW power plant to provide electricity for the smelter facility. ?Construction of the smelter has already reached 50 percent of the targeted works,? he said.

The government introduced export ban policy on mineral ores including nickel on January 12, forcing miners to develop domestic smelters to process the ores prior to export in a bid to generate greater value added from the country?s mineral commodities.

Previous reports said that BDM, which holds about 47,000 ha of concessions in Central and Southeast Sulawesi provinces, is teaming up with a Chinese company in developing the Morowali ferronickel smelter. (*)