PT ANTAM (Persero) Tbk and Ocean Energy Pte Ltd of Singapore have entered a cooperative relationship through which ANTAM’s subsidiary PT International Mineral Capital and Ocean Energy intend to develop a nickel smelter in East Halmahera, North Maluku. The companies have signed a shareholders agreement and plan to develop a nickel pig iron plant in two stages.
The relationship started with the signing of an Investment Heads of Agreement by ANTAM’s development director Hendra Santika and Ocean Energy’s managing director Ren Jianhua on December 9, 2014.
The nickel pig iron plant with an estimated capital cost of US$280 million is expected to annually produce 300,000 tonnes of nickel pig iron. The agreement also includes a plan for development of a stainless steel plant.
Financing will be provided by Ocean Energy with technology support from Taizhou YongXing Alloy Material Technology Co Ltd from China. ANTAM will provide key contributions in the form of mining expertise, land development, facilities and infrastructure development.
ANTAM’s president director Tato Miraza said: “ANTAM’s cooperation with Ocean Energy reflects our continuous undertaking to add value to the economics of Indonesia’s vast nickel reserves and to support the company’s sustainable growth.”
Ocean Energy’s managing director Ren Jianhua said: “We are pleased to build our partnership with ANTAM to support in the development of the significant
nickel laterite opportunities in Indonesia. The partnership will take advantage of the current positive metal industry environment.”
ANTAM is a diversified, vertically integrated natural resources based company with ferro-nickel, gold, alumina and precious metals processing and refinery
services as its main business. It is one of Indonesia’s leading companies with more than 46 years of experience and has abundant reserves of high quality nickel, gold and bauxite.
Ocean Energy is an enterprise incorporated in Singapore in 2008 that is mainly engaged in trading of crude oil, refined oil (such as gasoline, diesel and naphtha and others) and chemical products. The company’s business is mainly in Asia and covers the Middle East, Europe and Africa. Currently, its customers and partners include leading oil producers, national oil companies, integrated trading companies and refineries.
Taizhou YongXing Alloy Material Technology is a leading company in production technology, production management, cost control and product quality. The company commenced a metal smelting business in 1988 and started to produce stainless steel in 1995. Taizhou YongXing is based in the Zhaoyang Industrial Zone of Xinghua, Jiangsu, China.