Orica plans E. Kalimantan ammonium nitrate plant

World?s largest commercial explosives producer Orica Limited announced on Thursday that it was in talks with Indonesian government over the plan to build ammonium nitrate plant in Bontang, East Kalimantan.

The Australian company in its release that it had bagged license to build the plant from Investment Coordinating Board.

The plant will have capacity to produce 200,000 tonnes of ammonium nitrate per annum and would supply to Indonesia?s growing mining industry. Currently Indonesia imports its ammonium nitrate requirements. The company estimatated the plant would cost US$150 million to complete.

The company, however, did not give estimate when the plant would become onstream, but only saying that execution of the project would depend on completion of several issues including regulations and financing. (alex)