Harita Group Takes Chinese Investor to Build Smelter
TEMPO.CO, Jakarta - PT Megah Surya Pertiwi (MSP), a subsidiary of Harita Group, has started the construction of a nickel smelter on Obi Island, North Maluku. The project is done together with an investor from China, and is targeted for completion in June 2017 when it will enter commercial production stage.
"The commissioning will be done soon on the 20th month [of construction]," the company's senior general manager Arif Perdanakusumah said last weekend.The smelter construction is estimated to cost around US$ 320 million, financed by Harita and Chinese firms Xinxing Qiyun Investment Pte Ltd and Corsa Investment Pte Ltd, the subsidiaries of Xinxing Ductile Iron Pipes Co.
Harita controls 20 percent stake in the project while Xinxing has 80 percent.
Once built, Arif said the smelter will produce 190,000 tons of ferronickel per year with 10-12 percent levels of purification.