JMI in talks with potential partners from Russia, China for Kulon Progo project

By Thomas Sembiring

PT Jogja Magasa Iron (JMI) said it is currently in talks with potential strategic partners from Russia and China to help develop a planned furnace facility in Kulon Progo Regency, Yogyakarta, which will process iron sand concentrates into finished steel products.

This was said by Bambang Setiawan, Commissioner of JMI to Petromindo.com on Monday in Bali. He added that acquisition of required land for the project has been completed. He did not provide further details.

JMI, a subsidiary of ASX-listed Indo Mines Ltd, is partnering with PT Jogja Magasa Mining in developing the Kulon Progo project. The two have been seeking for a strategic partner since September of last year.

Indo Mines announced early this month financial support from its majority shareholder, Indonesia?s Rajawali Corpora, as it progresses discussions with a potential strategic partner in developing a trial smelter facility in Kulon Progo.

According to the Indo Mines statement, the strategic partner would finance and develop the furnace facility utilizing their technology to process the iron sand concentrate. To provide feedstock to this facility PT JMI would develop a beneficiation plant.

Editing by Reiner Simanjuntak