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ANTAM-PLN Strategic Collaboration to Boost Mineral Downstreaming, 150 MVA Electricity Supply Ready to Optimize Smelter in Kolaka

10/28/2024
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Kolaka, October 28, 2024 - PT Aneka Tambang Tbk (ANTAM) continues to strengthen its position in supporting minerals downstream through strategic collaboration with PT PLN (Persero). In this collaboration, PLN provides a 150 Megavolt Ampere (MVA) electricity supply for ANTAM's Ferronickel Smelter in Pomalaa District, Kolaka Regency, Southeast Sulawesi.

This electricity supply from PLN will enable ANTAM to swift away from using fossil fuel power plants, in line with the Company's commitment to increase the use of more environmentally friendly energy and support the national decarbonization program.

ANTAM's Ferronickel Smelter, managed by the Kolaka Nickel Mining Business Unit, is one of the key facilities in the mineral downstream chain. Through this cooperation, the plant, which has a production capacity of 27,000 tons of nickel in ferronickel (TNi) per annum, is expected to operate more optimally and efficiently to meet market demand, most of which is intended for export.

ANTAM President Director, Nico Kanter explained that collaboration with PLN improves operational efficiency and supports the Company's efforts to transform technology and reduce carbon emissions.

“This collaboration is a concrete step in implementing SOE synergy and supporting downstream using more environmentally friendly energy. This collaboration will not only benefit both parties, but also for national efforts towards net zero emissions by 2060,” said Nico.

One of the important benefits of this collaboration is the connection of electricity networks from renewable energy sources. Nico explained that in the initial stage in 2025, ANTAM plans to use electricity with renewable energy through the Renewable Energy Certificate (REC) purchase scheme of 112,940 REC units per year or equivalent to 112.9 Megawatt Hour (MWH).

“This step is one of ANTAM's contributions in supporting the energy transition by using environmentally friendly energy while ensuring that the ferronickel smelter in Kolaka can operate with clean energy,” he added.

PLN is committed to fully supporting the smelter industry's electricity needs. PLN President Director, Darmawan Prasodjo revealed that the smelter is one of the strategic projects supporting minerals downstream in Indonesia. Therefore, PLN is committed to meeting electricity needs and providing the best service for the smelter industry.

“The smelter industry requires enormous electrical energy, and PLN is ready to fulfill this need with a reliable, quality electricity supply and competitive prices. PLN is also ready to complement the needs of the industrial sector by providing innovative and environmentally friendly products and services,” Darmawan said.

He added that PLN is ready to supply the electricity needs of ANTAM's smelter in Kolaka through PLN South Sulawesi, Southeast Sulawesi, and West Sulawesi (“Sulselrabar”) Distribution Unit and guarantees clean electricity supply in Sulselrabar in sufficient condition with a renewable energy generation rate of 45.78%, one of the highest in Indonesia.

This cooperation is not only beneficial for both SOEs but also creates a positive impact on the local and national economy. ANTAM's ferronickel smelter in Kolaka is one of the strategic projects in line with the government's efforts to encourage mineral downstream and create a multiplier effect through investment in the industrial sector and renewable energy.

With this collaboration, ANTAM continues to make progress in strengthening its contribution to the national economy, especially in the mineral sector, and in efforts to transition to green and sustainable energy.


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