PLN to supply power to 3 nickel smelters, 1 cement factory

State owned utility firm PT Perusahaan Listrik Negara (PLN) has signed an agreement to supply electricity to four companies; three of which are nickel producers planning to build smelter and one cement producer.

The three companies are PT Central Omega Resources, PT Bukaka Teknik Utama and PT Bakti Bumi Sulawesi. The other firm is PT Semen Jawa.

Under the agreement, which was signed Monday, PLN will supply electricity to smelters to be built in South Sulawesi or East Java by Central Omega (amounting to around 220 MW), in Palopo Sulawesi by Bukaka Teknik (90 MW) and in Bontaeng, South Sulawesi, by Bakti Bumi (120 MW).

The electricity supply for Semen Jawa, which is located in Sukabumi, West Java, hovers around 90 MW.

?The ban on raw material exports resulted in a burgeoning smelting business and PLN fully supports it,? PLN said in the statement, referring to the 2009 Mining Law stipulating that mining companies are required to process all raw materials domestically by 20l4 or they will have their mining license revoked and shipping activities suspended.

Editing by Dadan Wijaksana