Harita delays smelter operation

By Brigida Ernestina Elu Wea

Harita Group has delayed for a second time the schedule for the operation of its alumina smelter in Ketapang, West Kalimantan, to May or June of this year.

The 1 million tons per annum-capacity smelter was initially targeted to begin operation in October 2015, but PT Well Harvest Winning Alumina Refinery, a joint venture between Harita and China?s Hongqiao Group, delayed it to February 2016.

Ery Sofyan, President Director of PT Harita Prima Abadi Mineral, which owns 25 percent stake in Well Harvest, said on Wednesday that construction progress of the smelter project has reached 90 percent. He, however, did not say the reason for the delay.

This US$1 billion smelter is part of the total 4 million tons per annum (mtpa)-capacity alumina smelter planned by Well Harvest. The company is developing the project in four stages with the total capacity targeted to be completed in 2021. The second 1 mtpa capacity is expected to start construction next year.

Editing by Reiner Simanjuntak