RI 78th Anniversary, MIND ID Track Record Provides Added Value for Indonesia in the Mining Industry Downstream Sector

Jakarta, 16 August 2023 – The Anniversary of the Republic of Indonesia is commemorated every 17 August. In 2023, the 78th Anniversary of the Republic of Indonesia fell on Thursday, 17 August 2023. MIND ID, the Holding State-Owned Enterprise for the Mining Industry, took part in commemorating Indonesia’s 78th Anniversary.

On the 78th anniversary of the Republic of Indonesia, MIND ID continues its commitment to raise the performance of mining industries in the country. This is become the vision and mission of the MIND ID Group, to provide a better future and give added value to Indonesia.

“In the commemoration of Indonesia’s 78th Anniversary, MIND ID continues with its commitment to provide added value for Indonesia. There are many programs and projects which are currently being implemented, or those completed, in manifesting MIND ID’s commitment,” said MIND ID’s Corporate Secretary, Heri Yusuf.

MIND ID as the Holding State-Owned Enterprise for the Mining Industry in Indonesia, with all of its members, PT ANTAM Tbk, PT Bukit Asam Tbk, PT Freeport Indonesia, PT INALUM, PT Timah Tbk., continues to jointly provide added value for the Indonesian nation.

In the mining industry downstream development, MIND ID is now handling several National Strategic Projects through its group members. One of which is the Smelter Grade Alumina Refinery (SGAR) in Mempawah, West Kalimantan.

This project is owned by PT Borneo Alumina Indonesia (BAI) and constructed by China Aluminium International Engineering Co. Ltd. Consortium (CHALIECO) together with PT PP (Persero) Tbk. SGAR is the supply chain connection between the bauxite minerals in West Kalimantan and the aluminum smelter owned by PT INALUM.

SGAR has a production capacity of 1 million tons of aluminium per year, with an estimated bauxite raw materials of 3.3 million tons per year. The plan is to have the project, which cost USD 831 million, to start operations in 2025. In the future, Indonesia will be able to process the bauxite into aluminium on its own, so that it will no longer depend on other countries.

There is also the Single Line Copper Smelter of PT Freeport Indonesia. The project, located in Gresik, East Java, will become the biggest single line copper smelter in the world, with a production capacity of 2 million tons per annum concentrate.

The downstream mining industry project valued at USD 2.87 billion is planned for operations in 2024. Member of the MIND ID Group, PTFI, targets the physical construction to be completed in December 2023 and can reach full operation capacity in 2024.

The investment fund for the Single Line Copper Smelter reached Rp 33 trillion in May 2023. The Strategic National Project will be able to employ 15 million workers, 98 percent of which will be Indonesians, 50 percent specifically for those in East Java.

Next is the East Halmahera Ferronickel Smelter which is now in operation. The ferronickel smelter development project is part of the National Strategic Project located in Tanjung Buli, East Halmahera, North Maluku. The project with an investment value of USD 264.07 million, will have a production capacity of 13,500 tons of ferronickel per annum.

“MIND ID’s target is, of course, very clear, to implement the government’s mandate to become a world-class company through the control and utilization of mineral and coal reserves in Indonesia,” Heri said.

Heri added that aside from constructing smelters, MIND ID also took part in hastening the ecosystem of electric vehicles. Indonesia has a huge potential for the development of electric vehicles. MIND ID, through its Member PT ANTAM Tbk., is planning to construct an electric vehicle battery plant with a capacity of 15 Giga Watt (GW) in 2027.

“MIND ID through PT ANTAM Tbk. has linked with CATL to develop electric vehicle batteries in Indonesia. The investment need for this project reaches US$12 billion,” he said.