Trimegah Bangun Persada

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Indonesian Giant Nickel Mine NCKL to Build Rp15 T Stainless Steel Plant

28 June 2023

JAKARTA — Nickel producer PT Trimegah Bangun Persada Tbk (NCKL) plans to expand and build a stainless steel or non-corrosive steel plant. This was directly revealed by NCKL's CEO, Roy Arman Arfandy.

Roy mentioned that the investment value of the plant amounts more than US$1 billion or Rp 15 trillion (exchange rate of Rp 15,000). Negotiations with investors are expected to be completed by end of this year, and the plant can be constructed next year.

"I hope that by end of this year, we can finalize negotiations with this new investor, so that we can start construction possibly next year. Around early next year," he said when met in Jakarta on Wednesday (28/6/2023).

NCKL will develop downstream processing from saprolite to ferronickel, and then to stainless steel. He mentioned that they are currently in discussions with investors and major players in this industry.

"I hope and please pray that our discussions with one of the major players in the stainless steel industry in the world will be successfully concluded, and we hope to announce it before end of this year," he revealed.

The planned production capacity is estimated to reach 2-3 million tons per year. Roy revealed that the potential investor is not from China.

On that occasion, Roy also mentioned that they are considering the option of exporting nickel sulfate outside of China. However, currently, China remains the largest battery manufacturer in the world.

"Regarding the export of nickel sulfate, it is true that most of the world's largest battery manufacturers are indeed located in China. So, for now, we are compelled to export the majority of our products to China. However, we are open to the possibility of exporting to other countries as long as electric vehicle battery manufacturers operate there, such as Korea or Japan," he added.

*Source: Detik.com

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