Vale to increase nickel production to 90,000 metric tons

Vale to increase nickel production to 90,000 metric tons

(valeindonesia.co.id)

"We do not want to violate the law."
Palu, Central Sulawesi (ANTARA News) - PT Vale Indonesia plans to increase nickel production from its mining areas to 90,000 metric tons a year by 2017 from the current 75,000 tons.

The company`s external relations and corporate affairs director, Basrie Kamba, said here on Wednesday "we will increase production from 75,000 tons to 90,000 tons by 2017 and to 120,000 tons later on."

He made the statement on the sidelines of a discussion on the environmental impact analysis document for the development of a nickel processing plant in Bahodopi Block in the district of Morowali, Central Sulawesi.

He said the plan would immediately be realized after the environmental impact analysis had been finished and the permit for the forest land leasing from the forestry ministry has been issued.

"We wish we could do it quickly but there are processes that must first be passed. We do not want to violate the law," he said.

He said the nickel processing plant would later be developed into a refining plant.

"If the refining plant is realized Bahodopi would be the first to have a nickel refining plant in Indonesia. It is not a promise but a will," he said.

The land for the working contract of Vale in Morowali covers 35,492 hectares initially controlled by PT International Nickel Indonesia (Nico) Tbk. which PT Vale acquired in 2006 and changed the name of the company to PT Vale Indonesia in 2012.

PT Vale contributes five percent to the world`s nickel demand. Its production is sold to Vale Canada Ltd. and Sumitomo Metal Mining Co. Ltd. under a long-term purchase deal.

Vale is a mining company headquartered in Brazil. It was established on June 1, 1942 by the Brazilian Federation government. It has operated in five continents in 38 countries, employing more than 126,000 workers and 50,000 of them are working in Vale ongoing projects.

Basrie said the application for an exploration permit in Bahodopi Block has been filed to the government since June 2011.

"Since 1968 when it was still named Inco it has already conducted exploration. Exploration will be done again for the next development," he said.
(T.A055/H-YH/S012)

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