Central Omega to begin NPI production in March
Thursday, January 5 2017 - 02:35 AM WIB
Courtesy of Central Omega
IDX-listed PT Central Omega Resources Tbk expects its joint venture nickel pig iron (NPI) smelter in North Morowali Regency, Central Sulawesi, to start maiden production in March of this year.
Company Corporate Secretary Yohanes Supriady was quoted by Kontan as saying Thursday that the smelter, which has installed production capacity of 100,000 tons per year, has entered commissioning stage.
He said that in the initial phase the smelter will run at 50-60 percent of capacity.
The company said that the entire NPI production (8-10% Ni) will be dedicated for the China 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.
Central Omega said in February of last that assuming an NPI price of US$880 per ton, the export revenue in 2017 is projected to reach $63.8 million. But Yohanes said NPI price has now increased to $1,000 per ton level, although production cost also rises.(*)