Gag Nikel to sign mining contract amendment soon

By Cepi Setiadi

PT Gag Nikel, a wholly owned subsidiary of IDX-listed mining firm PT Aneka Tambang Tbk (Antam), stated that it will soon sign with the government amendment of its mining contract of work (COW) as negotiation process is nearly completed.

"If the government is okay, we?ll sign on April 12, 2017 the contract amendment with Minister of Energy and Mineral Resources as the representation of the government of Indonesia," said Ady Taufik Yudisia, Gag?s Operation Director, to Petromindo.com.

Ady added that Gag is currently focusing on construction activity as the company prepares to start production. "We expect by the second semester of this year, we will start production of nickel ores," he said.

PT Gag Nikel, operates a concession on Gag Island, West Papua Province. According to JORC 2012 report, Gag?s West Papua concession has nickel saprolite resources of 188.3 million wet metric tons, and nickel limonite reserves of 170.4 million wmt.

Editing by Reiner Simanjuntak