Macika to more than double nickel output on new regulation
Thursday, January 19 2017 - 08:52 AM WIB
Courtesy of Antam
PT Macika Mada Madana, which operates nickel mines in Konawe Selatan, Southeast Sulawesi Province, plans to more than double nickel ore production this year to 50,000 tons per month from last year?s monthly production rate of 20,000 tons.
Macika Mada President Director Alexander FH Roemokoy told Petromindo.com on Wednesday that the higher production plan comes following the introduction of the new Government Regulation No 1/2017 and the ensuing implementing ministerial regulation that allows the export of certain amount of low-grade nickel with purity of less than 1.7 percent.
The new mining rules allow miners to export low grade nickel after allocating part of the output to meet 30 percent of the installed capacity of domestic smelter.
Alexander said that prior to the new mine rules, the company supplied its nickel output to domestic smelters.
He added that before the government banned the export of mineral ores in early 2015, the company exported up to around 150,000 tons of nickel ores per month.
Macika Mada through subsidiary PT Macika Mineral Industri in a joint-venture with a Chinese firm is developing a ferronickel smelter in Konawe Selatan, with total capacity of up to 53,680 tons per year.
Editing by Reiner Simanjuntak