Two iron sand miners get export recommendation

The Ministry of Energy and Mineral Resources (MEMR) has given export recommendation to two iron sand miners PT Sumber Baja Prima and PT Megatop Inti Selaras, which is necessary to obtain the export permit from the Ministry of Trade, Kontan reported on Wednesday.

The paper quoted Edi Prasodjo, Director of Mineral Management and Development at the MEMR, as saying that the ministry is also currently in the process of giving similar recommendation to two other iron sand miners PT Adiguna Usaha Mandiri and PT Malta.

Once Sumber Baja and Megatop, respectively subsidiaries of Chinese firms Wuhan Tongrui Industry & Trade Co Ltd, and Fuhai Group, obtain the export permit, iron sand export from the country would resume, which was suspended in January of this year following the introduction of government export ban policy.

Edi said that Sumber Baja and Megatop has met the necessary requirements including putting in place plan to develop pig iron smelters. Sumber Baja, which operates an iron sand mine in Sukabumi, West Java, plans to build an 800,000-ton capacity of pig iron smelter, while Megatop, which operates a concession in Cianjur, also is West Java, plans to develop a 960,000-ton capacity smelter.

He said that Sumber Baja has been given a recommendation to export up to 800,000 tons of iron sands, while Megatop an annual export quota of up to 960,000 tons.(*)