Minister of Industry Agus Gumiwang today, Thursday, December
7 2023, inaugurated the first titanium smelter in Indonesia which is
located in Baturusa Village, Merawang District, Bangka Regency, Bangka Belitung
Islands Province. The smelter belongs to PT Bersahaja Berkat Sahabat Jaya
(SSBJ).
Agus explained that the smelter with an investment value
of IDR 1.3 trillion is a tin mineral downstream company and is included in
Domestic Investment (PMDN). "There are a lot of potential downstream derivatives
of tin minerals that we can develop. One of them is the raw material for making
titanium, which we are prioritizing," he said on the sidelines of the
smelter inauguration.
According to him, the development of downstream minerals
from Rare Earth or Rare Earth Metals (LTJ) is currently very much needed by
companies operating in the downstream industry. "The added value of
downstream tin minerals is very large," said Agus.
He said that for decades, Indonesia only exported raw
materials to other countries and the added value was not enjoyed by
Indonesia. "So from now on we have to change it so that we enjoy the
added value."
According to Agus, Indonesia can still survive amidst the
slowing global economy and the obstacles it faces related to climate change and
declining prices of leading export commodities. This is because
Indonesia's manufacturing and processing industry sectors are believed to
continue to grow and become a mainstay.
"In the third quarter of this year, the manufacturing
sector can grow and the growth will be greater at 5.02 percent year on
year," said Agus. "Manufacturing growth could be higher
than national economic growth, which in the third quarter reached 4.94 percent.
We are above national economic growth."
Meanwhile, the Main Director of PT BBSJ, Arbi Leo, said that
his party would also innovate to process the potential for downstream tin
minerals that currently exist. This, he said, is in line with the
government's mandate which aims to downstream every mineral potential that
exists in each region.
According to him, downstreaming does not only stop at
titanium products. "There are still many products from associated
minerals in Bangka Belitung that we can envision being downstream. In the
future we will also try to create a zirconium smelter where we also still have
associated mineral products, namely monazite," he said.
PT BBSJ also plans to gradually downstream 17 elements found in rare earth metals, especially monazite. "The monazite mineral also contains thorium and uranium. So we hope that PT Bersahaja can continue to be supported so that it can help advance the region and the nation," said Arbi.
Image source: REUTERS
