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Indonesia-China Companies Collaborate on Nickel Smelter Project in East Kalimantan

MI

Mon 31 Jul 2023, 10:00 AM

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Mitra Murni Perkasa (MMP), a subsidiary of MMS Group Indonesia (MMSGI) which is developing a nickel matte smelter project in East Kalimantan, has signed a cooperation agreement with China ENFI Engineering Corporation (China ENFI).

 The event was attended by all MMSGIMMP management, a number of Chinese ENFI delegates from Beijing and also representatives from Bank Negara Indonesia (BNI).

 The collaboration with China ENFI, which began 15 months ago, has gone through a feasibility study process to ensure that the MMP nickel smelter construction project can be implemented on a strong technical foundation. The construction of this project is targeted to be completed in the 4th quarter of 2024 and start operating in the 2nd quarter of 2025.

The MMP matte nickel smelter is planned to have a production capacity of 27 thousand tons per year with a nickel content of more than 70 percent. The construction of this matte nickel smelter is intended to support the increasing demand for nickel as a raw material for making EV batteries used in electric powered vehicles (BEV). This is in line with global efforts to reduce carbon emissions.

MMP President Director Adhi Dharma Mustopo said this signing was a historic moment for MMP and China ENFI.

"We support the government's program to build a matte nickel smelter which has a low carbon footprint and is entirely Domestic Investment (PMDN)," he said in a written statement, Tuesday, July 25, 2023.

The construction of this matte nickel smelter is the beginning of MMSGI's collaboration with China ENFI, and opens the next MMSGI business development in harmony with China ENFI's technical expertise.

“This cooperation has important meaning for our side. China ENFI believes the MMP matte nickel smelter will be a successful pilot project in Indonesia and provide broad benefits to all parties. What's more, the MMP project is close to IKN, the new center of government," said China ENFI Chairman of the Board Liu Cheng. The collaboration between

MMP and China ENFI aims to ensure the development of a strong and competitive nickel matte smelter. With the increasing popularity of electric vehicles and demand for matte nickel as raw material for electric vehicle batteries, the MMP project is expected to have a positive impact nationally and support the battery industry program in Indonesia.

Not only that, MMP's matte nickel smelter is one of the proofs of MMSGI's commitment to implementing ESG (Environment, Social, Governance) based business.

Image source: MI

Source: https://www.medcom.id/ekonomi/bisnis/akWXzX0K-perusahaan-ri-tiongkok-kolaborasi-proyek-smelter-nikel-di-kaltim

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