PT Indo Tambangraya Megah Tbk. (ITMG) is actively seeking potential nickel mines for acquisition, collaborating with strategic partners in this business venture.
Somruedee Somphong, the Chief Executive Officer of Banpu Public Company Limited, the parent company of ITMG, expressed a willingness to collaborate with Indonesian companies, to become partners in green energy projects from upstream, midstream to downstream. In the mineral sector, ITMG is also targeting the nickel business.
However, she clarified that if ITMG were to acquire a nickel mine, Banpu would not integrate it with the Durapower battery production facility.
"Durapower will focus on producing battery cells in southern China," stated Som, as quoted on Sunday (19/11/2023).
She further explained that it would be impractical to transport Indonesian nickel to be processed elsewhere due to existing regulations. Consequently, ITMG cannot ship its nickel to Durapower.
Nevertheless, Som expressed optimism that ITMG could establish partnerships with several Indonesian companies, creating a comprehensive battery value chain.
"This will create great value for ITMG, and also Banpu," she said.
Earlier, Yulius Gozali, the Corporate Communications and Investor Relations Director of ITMG, mentioned that the company is actively searching for potentially lucrative nickel mines for acquisition.
Currently, ITMG has held talks with a number of nickel companies.
"We are planning to diversify into the nickel business and are currently looking for mines to acquire," said Yulius.
Yulius explained that ITMG's entry into the nickel business is part of its strategy to diversify its non-coal business activities while contributing to the development of the electric vehicle ecosystem. Therefore, the mine that will be acquired is expected to be able to provide products for battery raw materials.
Image source: JIBI/Bisnis/Eusebio Chrysnamurti
Source: www.market.bisnis.com/Indo Tambangraya (ITMG) Bicara Arah Ekspansi Bisnis Nikel
