INCO studies nickel deposits in Bahodopi block

Thursday, February 14 2002 - 01:58 AM WIB

PT International Nickel Corporation (INCO), a subsidiary of a Canadian mining giant, is conducting a feasibility study on the nickel reserves in its Bahodopi block in South Sulawesi, Antara news agency reported on Thursday.

The company?s president Rumengan Musu said in the provincial capital of Palu on Wednesday that the company had yet to decide when the exploitation would be commenced as the feasibility study on the ferronickel contents of the Bahodopi had not been completed.

Speaking to reporters following a hearing with the provincial legislative council (DPRD), Rumengan said that the exploitation works would be carried out only if the block is economically and technically feasible.

According to him, the company has sent 25 tons of earth to Japan as a sample to find out the content of the ferronickel deposits in the 36,000 hectare concession area. The initial study indicates that the ferronickel deposit in the concession area is not significant enough for exploitation activities.

Rumengan said the fact that more than 2,000 people reside in the concession also hampered exploitation activities. ?We have asked the local government since 1995 to relocate the residents to make away for the company to carry out exploitation. But up to now, there is no significant efforts to solve the problem,? he added.

He said that INCO has allocated Rp 13 billion to finance the relocation of the residents occupying the Bahodopi mining area. About Rp 2.6 billion has been used to relocate about 200 people.(*)

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