For companies seek permit to export low grade nickel ores

Petromindo|Thomas

IDX-listed mining firm PT Aneka Tambang Tbk (Antam), and privately-held nickel mining firm PT Fajar Bhakti Lintas have applied for permit to export low grade nickel ores, Kontan reported on Monday.

The paper quoted Director for Mineral Management and Development at the Ministry of Energy and Mineral Resources, Bambang Susigit as saying that two other companies have also sought for permit to export the commodity, but he not disclose the name of the two other firms.

He said that the four mining firms have applied for permit to export the ores, each with export quota of six million tons. ?It (the request) may not necessarily be approved,? he said, adding that the ministry will only issue the key export recommendation letter to mining firms which are developing required domestic smelter.

He added that the export quota will also depend on the capacity of their smelters. He cited as an example that as Antam?s Pomalaa smelter only have a capacity of 1 million tons per year, therefore the annual export quota for the company will not be six million tons.

Bambang said that the ministry will make decision on the request for export permit once the ministerial regulation on the appointment of independent auditors assigned to verify smelter projects and export conditions has been issued. ?The ministerial regulation will be issued soon so that miners can make export,? he said.

The government in January of this year issued a new regulation allowing among others for the export of low grade nickel ores with purity of less than 1.7 percent and washed bauxite with purity of less than 42 percent under certain conditions including requirement to build domestic smelter and meeting domestic demand of the ores. (*)