Vale to build processing plant

IDX-listed PT Vale Indonesia Tbk plans to build a processing plant and other infrastructure in the Southeast Sulawesi regency of Kolaka in 2016.

The company?s director of external relations and corporate affairs Kamba Basrie said both mining and processing would top the company?s agenda.

"If everything goes as planned, including renegotiation of our contract of work, permit and community and government support, construction of the plant in Kolaka will commence in 2016,? he was quoted by Antara as saying on Thursday the project will last about five years before the plant operates in 2020.

The plant will be built according to the company?s concession which is located Kolaka and East Kolaka regencies. ?Very likely the factory will be built in Kolaka because our concession in East Kolaka only covers 400 hectares which are mostly classified as primary forest area,? he said.

The whole construction project will create a total of 3,000 jobs for local people. ?But when the operation stage begins, only 300-500 competent and qualified labors will be needed,? he added.

The project will cost an estimated the company US$2 billion. Vale will cooperate with a Philippine company in the project. (*)