Central Omega expects to begin NPI export next year
Monday, February 29 2016 - 03:03 AM WIB
IDX-listed PT Central Omega Resources Tbk expects its joint venture nickel pig iron (NPI) smelter in North Morowali Regency, Central Sulawesi, to start export at a targeted volume of 72,500 tons in 2017.
The company said in a presentation material last week that the NPI smelter with total installed capacity of 100,000 tons per year is scheduled to start commissioning in the fourth quarter of this year, and trial production in the first quarter of next year.
The company said that the entire NPI production (8-10% Ni) production will be dedicated for the export market.
Central Omega?s subsidiary PT COR Industri Indonesia, which is 40 percent owned by China?s Macrolink Group, is a developing an NPI smelter in three phases, the first of which will have capacity of 100,000 tons per annum.
Elsewhere, Central Omega said in the presentation material that assuming an NPI price of US$880 per ton, the export revenue in 2017 is projected to reach $63.8 million.
The company said that assuming cost of sales of $1.62 million, gross profit in 2017 is projected at $12.18 million, and consolidated net profit at $11.16 million.
Editing by Reiner Simnajuntak