Mitsubishi Corp met with Jokowi on nickel smelter project

Top officials of Japan?s Mitsubishi Corp met on Monday with Indonesian President elect Joko Widodo (Jokowi) discussing among other things a planned multi-billion dollar integrated nickel mining project in Halmahera, North Maluku Province, reports said on Tuesday.

Bisnis Indonesia and Kontan reported that the Mitsubishi officials also met with outgoing President Susilo Bambang Yudhoyono.

The Japanese giant discussed with the Indonesian leaders its various investments in the country including the nickel project, according to Minister of Industry MS Hidayat.

As has been previously reported, Mitsubishi and France-based Eramet SA plan to develop a smelter facility to be integrated with a nickel mine on Halmahera Island, in a combined investment of US$5 billion.

The project will be carried out by PT Weda Bay Nickel, which is 90 percent owned by Strand Mineral Pte Ltd (Singapore), and 10 percent by IDX-listed mining firm PT Aneka Tambang Tbk. Strand is 66.6 percent owned by Eramet, and 30 percent owned by Mitsubishi Corp, with the remaining 3.4 percent held by Pamco.

Hidayat said that once realize, the nickel smelter will be the largest in Indonesia, with a capacity of 65,000 tons per year. (*)