Lippo Group to build smelter

Indonesia?s Lippo Group is scheduled to sign an MoU with China?s Shenhua Group today in Beijing for the development of an integrated smelter facility in Cirebon, West Java, to process zinc and tin ores, Investor Daily and Bisnis Indonesia reported Friday.

The papers quoted Minister of Industry MS Hidayat as saying that the output of the smelter to be built on a 2,000 ha site will be mostly dedicated for export to China. Hidayat was speaking before flying to China to witness the signing ceremony. He, however, could not provide further details about the project.

Hidayat said that Shenhua is a leading smelter company in China which has branched out internationally, but the planned JV with Lippo would be its first venture in Indonesia.

Hidayat said that the diversified Lippo Group, which among others is engaged in property, media, healthcare, and finance businesses, also plans to invest in coal gasification project in Indonesia among others to produce methanol and polyethylene. (*)