GSG plans nickel smelter in C. Java

North Sumatra-based steel company Growth Steel Group (GSG) plans to cooperate with PT Semen Indonesia Rembang to develop a nickel pig iron smelter in Rembang, Central Java.

Jonatan Handjojo, Director of PT Indofero, a subsidiary of GSG, was quoted as saying by Kontan.co.id last week that that Semen Indonesia Rembang initially planned to develop a cement plant in the area, but canceled the project due to protest from the local community. The company instead asked GSG to help it develop a nickel pig iron smelter.

Jonatan did not provide further details about the planned smelter project as the two firms have yet to finalize talks.

Indoferro is currently developing a 120,000-ton per annum nickel pig iron smelter, in Cilegon, Banten, with total investment of US$160 million. (*)