Bukaka may acquire another nickel mine
Saturday, August 26 2017 - 04:06 AM WIB
IDX-listed engineering and construction firm PT Bukaka Teknik Utama Tbk said it is open to possibility of acquiring another nickel mine in South Sulawesi Province to supply ores for its nickel smelter in Palopo, also in the province.
?We (may) continue to acquire another (nickel) mine as long as it?s in C&C (status),? said Bukaka President Director Irsan Kamarudin to Petromindo.com recently, referring to the clean and clear status of the mine, which means the mine is not overlapping with other mine or protected forest areas, has proper permit documents, and has been properly paying financial obligations to the state.
He said that another option is to cooperate with local miners for the supply of nickel ores for the company?s nickel smelter.
Irsan earlier said that construction of the smelter project has been suspended pending recovery in the price of the nickel. The smelter was supposed to have been completed in the first semester of this year.
The company?s subsidiary PT Bukaka Mandiri Sejahtera early last year acquired a 51 percent stake in nickel mining firm PT Mitra Karya Agung Lestari, which operates nickel concession in Palopo that would supply the nickel ores to the planned ferronickel smelter. The mine is still under exploration stage and construction of a 6-km hauling road.
Editing by Reiner Simanjuntak