Inco and Antam study possibility of establishing a joint venture
Saturday, August 21 2010 - 02:20 AM WIB
Inco?s president director Tony Wenas said in Jakarta on Friday that the establishment of a joint venture was only one of several options in their cooperation plan. No firm commitment had so far been made on the establishment of the joint venture as two companies had not yet agreed with Inco?s plan to supply high grade nickel ore to Antam in Pomalaa.
Antam?s corporate secretary Bimo Budi Satriyo said that there have been talks between the two companies recently on Inco?s offer to supply 1 million tons of nickel ore to Antam?s processing plant in Pomalaa.
?But no decision has so been made because the difference over prices,? he said.
During the period between 2003 and 2008 Inco supplied high grade nickel ore to Antam?s processing plant in Pomalaa. The cooperation was, however, halted by the government in July 2008 because Inco continued to delay its plan to establish a processing plant in its concession area in East Pomalaa, South Sulawesi.
Due to the suspension of the cooperation, Antam procures nickel ore supply from its own concession area in Halmahera, albeit with a high transportation cost.
Recently, Inco reoffered to continue the nickel ore supply. But no decision had so far been made because Inco offered too high price, said Antam?s president Alwin Syah Loebis. (*)