Yao Wei Xin, the president Director of the Chinese company said North Maluku is selected to be the companys operation base as 65 percent of nickel reserves are found in that province.
The plan followed working recent visit by North Maluku Governor Abdul Gani Kasuba to Guangzhou to discuss cooperation with the Chinese province in nickel mining and marine sectors, Yao said here on Saturday.
He said a memorandum of understanding was already signed in Jakarta between the company and the North Maluku administration on the cooperation to build the smelter and investment in the fisheries and education sectors.
North Maluku was selected also because of strong supports from the provincial administration for investment by the Guangzhou government.
He cited the facility in securing license for investment and construction of the smelter, which became the starting point of Chinese investment in North Maluku.
The project would be built in on the island of Obi, regency of Halmahera Selatan with an investment of Rp9 trillion, he said.
Meanwhile Governor Abdul Gani Kasuba said he learned a lot of the Chinese culture which has great religious tolerance.
"I went to China not on a pleasure visit but to promote investment opportunity in North Maluku," the governor said.
He said he plans to open a school for Mandarin language in Halmahera Selatan that in the future the people could speak not only in English but also in Mandarin.
"China is quite open in cooperation in developing manufacturing industry to process natural resources of North Maluku including minerals and fishery and forestry products," he said.