Indonesia’s state-controlled miner, Aneka Tambang (Antam), is gearing up to commence the construction of two nickel processing facilities next year in collaboration with China’s Ningbo Contemporary Brunp Lygend Ltd (CBL). These projects are part of Antam’s partnership with CBL to establish an “ecosystem” for producing materials essential for electric vehicle (EV) batteries, aligning with Indonesia’s broader objective to position itself as a prominent EV production hub. The initial phase of the partnership concluded with the sale of shares in two of Antam’s nickel mining units to CBL in December.
Currently, feasibility studies are underway this year for a rotary kiln electric furnace (RKEF) plant for nickel processing into crude metal and a high-pressure acid leach (HPAL) plant for extracting battery materials from nickel ores. Antam’s CEO, Nicolas Kanter, announced plans to commence the construction of the RKEF and HPAL plants at an industrial park next year, with the proposed location likely in East Halmahera regency in North Maluku province, as previously indicated by Antam. The feasibility studies are exploring the potential use of natural gas to power the HPAL plant, a departure from the prevalent coal-powered operations in Indonesia.
Emphasizing the significance of sustainability, Kanter highlighted the demand for “green nickel” in response to evolving consumer preferences emphasizing environmental, social, and governance (ESG) criteria. Joint-venture entities will be established for each of the RKEF and HPAL plants to facilitate the successful execution of these strategic projects.