Mitsubishi Materials halts Gresik copper smelter: Report
Tuesday, October 17 2006 - 08:43 AM WIB
Mitsubishi Materials Corp has suspended operations at its Gresik copper smelter in Indonesia because of troubles with oxygen supplies to the plant, and it expects operations to resume in mid-December, Reuters reported Tueasday.
The company expects the suspension to reduce copper output at the smelter by about 52,000 tons.
The suspension will have the effect of reducing current profits at PT Smelting, the operator of the smelter, by about 5 billion yen ($42 million), the company said in a statement.
Mitsubishi Materials owns 60.5 percent of PT Smelting, while other Japanese stake holders are Mitsubishi Corp with 9.5 percent and Nippon Nippon Mining Holdings Inc. with 5.0 percent.
The Indonesian unit of U.S.-based Freeport McMoRan Copper & Gold Inc also has a 25 percent stake in the smelter.
The smelter, which started operation in 1999, is capable of producing 275,000 tons of copper a year. (*)