Vale to allocate up to $90m for capex this year

Petromindo|Lucky

IDX-listed integrated nickel mining company PT Vale Indonesia Tbk plans to allocate US$80 million-$90 million for capital expenditure (capex) this year, kontan.co.id reported Friday.

PT Vale President Director Nico Kanter said that the capex this year will be used to finance expansion of production capacity of its smelter in Sorowako, Central Sulawesi, for replacement of heavy equipment and refurbishment of machinery.

He said that the 2017 capex does not include funding requirement for the planned smelters in Bahodopi, South Sulawesi, and Pomalaa, Southeast Sulawesi, as Vale is still looking for partners that can provide cheaper technology for the two projects.

PT Vale last year allocated between $60 million and $70 million for capital expenditure. (*)