Impact of Integrated Aluminium Downstreaming in Mempawah, Absorbs 3,130 Workers

MIND ID or Mining Industry Indonesia, the Holding State-Owned Enterprise for the Mining Industry, has consistently become the mover in creating regional job opportunities. Through its initiative of integrated aluminium downstreaming strategy from upstream to downstream in Mempawah, West Kalimantan, the MIND ID Group has created abour 3,130 new jobs in the region.

The related economic sectors are estimated to receive significant muliplier effect of job creation, in line with the expanding needs of partnership integration in all business lines, starting from services in mining, logistics, operations, to regional UMKM or Micro, Small and Medium Enterprises.

After the initial injection of Fase I Smelter Grade Alumina Refinery (SGAR) in the second semester of 2024, the MIND ID Group continues its integrated aluminium downstreaming development from upstream to downstream. MIND ID strengthens mining activities, bauxite processing, and alumina processing to become integrated aluminium in Mempawah, West Kalimantan.

As many as 3,130 workers were directly employed in this downstreaming strategy initiative, consisting of Phase I SGAR of about 1,000 workers, Fase II SGAR in the process of development, of about 880 workers, New Aluminium Smelter Factory in the planning phase of about 1,000 workers, and Washed Bauxite Facility in the planning phase of about 250 workers.

MIND ID Corporate Secretary, Pria Utama, stressed that the purpose of each downstream initiative is not only to raise the commodity added value, but also to create actual social value for the people in the operational areas.

This is in line with the mandate of the 1945 Constitution, that natural resources have to be managed to the fullest extent for the prosperity of the people, including through inclusive job creation.
“We believe that downstreaming must bring direct impact for the surrounding people. The creation of jobs is the tangible creation of MIND ID’s mission to become an inclusive and sustainable economic growth mover,” he said.

Pria also ensures that these strategic project will continue to prioritize the absorption of local workers from the surrounding regions.

Each worker employed will also follow sustainable training and development programs as a provision for raising the capacity and competitives of regional workers in future.

“Of course, this will become the foundation for the long term downstreaming and industrialization in the regions, to enable the sustainable creation of added value in the mining sector,” he added.

Aside from the direct creation of jobs, Pria is certain that these downstreaming activities will also have a great impact on the derivative sectors, such as infrastructure and construction services, mining services and industrial operations, logistics and transportation, as well as local UMKMs such as culinary, accomodation, and other goods/service providers.

“Active downstreaming activities will, of course, need much collaboration with the local people. We are certain that this will greatly boost the absorption of local workers in the supporting sectors,” concluded Pria.