Energy|Exploration|Mining|Resources|Stainless Steel|Steel|Products|Pyrometallurgy
Energy|Exploration|Mining|Resources|Stainless Steel|Steel|Products|Pyrometallurgy

Indonesia considers terminating permits for some nickel pig iron production

11th June 2024

By: Reuters


Font size: - +

JAKARTA - The Indonesian government is conducting a comprehensive evaluation regarding the termination of permits for the RKEF smelters which make products in the form of ferronickel and nickel pig iron, a mining ministry official said on Tuesday.

The world's biggest nickel producer is experiencing a rapid depletion of ore after a surge in downstream investment, prompting the government to seek ways to reserve stocks for higher value added products such as the nickel chemicals used in making batteries for electric vehicles.

Irwandy Arif, a senior official with the Energy and Mineral Resources Ministry, said the government is focused on the development of High Pressure Acid Leach (HPAL) smelters - which extract nickel and cobalt from laterite ore bodies to produce Mixed Hydroxide Precipitate, a precursor material for the battery industry - and smelters that produce nickel matte.

It is unclear whether the possible termination will apply to existing permits.

Reserves of ore graded above 1.5% are expected to last until 2029 assuming there is no further exploration, Irwandy told participants at an industry conference organised by the Shanghai Metal Market.

Once a major exporter of nickel ore, Indonesia banned shipments of unprocessed nickel in 2020 to attract investment onshore.

The Indonesia Nickel Miners Association (APNI) has also urged the government to impose a moratorium on new pyrometallurgy plants to extend the lifetime of high-grade reserves.

Indonesia's high-grade 1.7% nickel ore is used mainly to produce nickel pig iron, a feedstock for stainless steel, with EV batteries using lower grade nickel.

Edited by Reuters



ESAB showroom image
ESAB South Africa

ESAB South Arica, the leading supplier of high-end welding and cutting products to the Southern African industrial market is based in...

Condra Cranes
Condra Cranes

ISO-certified Condra manufactures overhead cranes, portal cranes, cantilever cranes and crane components: hoists, drives, end-carriages, brakes and...


Latest Multimedia

sponsored by

Magazine image
Magazine round up | 12 July 2024
12th July 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?







sq:0.325 0.385s - 192pq - 2rq
Subscribe Now