PT Aneka Tambang Tbk (IDX: ANTM) has get permit to export washed bauxite ore with as much as 1.89 million wet metric tones until 2022 - Photo by TheInsiderStories

JAKARTA (TheInsiderStories) – The miner, PT Aneka Tambang Tbk (IDX: ANTM) or ANTAM, get permit to export washed bauxite ore with as much as 1.89 million wet metric tones (wmt) until 2022, said the management today (01/27). Last year, the state firm has allowed to export 840,000 wmt from the Chemical Grade Alumina factory in Tayan, West Borneo.

Based on the Regulation of energy and mineral resources (EMR) ministry Number 17 of 2020 concerning Mineral and Coal Mining Business, Antam is included in the criteria for the Bauxite Production Operation Mining Permits permit, which already own and operate the refining facilities.

In the fourth quarter of 2020, ANTAM has used the alumina product around 255,000 wmt with sales rate of 276,000 wmt. In the whole year, the company has sold 1.23 million wmt and the production levels 1.55 million wmt. The gold sales dropped by 36 percent to 53,756 troy ounces (oz) compared to 2019. The production also fell 17 percent to 700,789 oz from the Pongkor and Cibaliung mines in West Java.

Currently, the producer focused is to build Smelter Grade Alumina Refinery (SGAR) factory in Mempawah, West Kalimantan collaborating with its parent PT Indonesia Asahan Inalum (MIND ID), which has a processing capacity of 1 million tones of SGA per year. The miner also plans to form a new venture company Indonesia Battery Holding with PT Perusahan Listrik Negara and PT Pertamina to operates an electric vehicle (EV) battery plant.

According to CEO of PT Indonesia Asahan Aluminium (MIND ID), Orias Petrus Moedak, currently there are two potential partners from China and South Korea who are being approached to become an investors in the new EV battery factory. He said, the investment values of this project was estimated around $12 billion.

To support the planned, said the CEO, ANTAM now worked on related EV battery like high-pressure acid leaching and rotary kiln electric furnace smelter projects valued $2 billion to $3 billion, respectively. But, he did not give the details on the two projects.

Previously, minister of state own enterprises, Erick Thohir, revealed, after MIND ID’ purchase PT Vale Indonesia Tbk (IDX: INCO) shares with worth of Rp5.5 trillion, the new unit its expecting would support the downstream projects of the holding mining company. With the share ownership, will allow MIND ID to secure the supply of raw materials, especially nickel.

He emphasized that since the government banned nickel exports as of Jan. 1, 2020, MIND ID has been faced with a challenges to innovate and restructure the business models. Based on the reasoned, now the ministry prepare this company to enter the EV battery industry, which currently 27.9 percent of the market share controlled by China.

Indonesia, he asserted, only became a producer and exporter of raw goods with a share of 27 percent in the global market. The plan will be executed with the construction of a lithium-ion factory which is planned to be near two nickel mines owned by ANTAM in Tanjung Buli, East Halmahera and in North Konawe, Southeast Sulawesi.

MIND ID is currently managed ANTAM, INCO, PT Bukit Asam Tbk (IDX:PTBA), PT Timah Tbk (IDX: TINS), and PT Freeport Indonesia.

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Written by Editorial Staff Email: theinsiderstories@gmail.com