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MDKA’s Innovations Pave Way for Mineral Conservation in Indonesia

Merdeka Copper Gold

Tue 03 Dec 2024, 16:06 PM

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The Wetar copper mine, which lies in Southwest Maluku, now not only produces copper but also becomes a doorway for mineral conservation innovations. 

Mining giant Merdeka Copper Gold (MDKA) attributed the mineral conservation efforts to its collaboration with its subsidiary Merdeka Battery Materials (MBMA). MDKA uses the previously unused ore residue from the Wetar copper mine to support the production of battery precursors by MBMA. The collaboration is dubbed the first mineral conservation in Indonesia, and this has helped safeguard the environment at the Wetar mine. 

MDKA also sets up the so-called acidX iron, metal AIM project that is currently being run by MBMA. The project helps the company to use the remaining mineral content in the Wetar copper mine which naturally cannot be extracted back into copper but still has economic value. The AIM project will operate a concentrator to extract pyrite concentrate, an acid plant, a chlorination roasting plant, and a metal extraction plant.

The AIM plant will process high-quality waste ore and pyrite ore originating entirely from the Wetar Copper Mine with a nominal capacity of more than 1 million tons per year. The ore will be transported in open barges from Wetar Island to the IMIP port and then sent to the AIM plant for further processing into various products including sulfuric acid, saturated steam, iron ore pellets, copper sponge, copper cathode, lead-zinc hydroxide, gold doré, and silver.

According to Head of Corporate Communications MDKA Tom Malik, the mineral conservation strategy is part of the company’s efforts to support the development of the downstream industry, while also conserving the minerals. 

"This initiative demonstrates Merdeka group's commitment to driving innovation and sustainability in the mining industry, in line with the government's vision to create more responsible and high-value mining practices," Tom said. 

The AIM processing facility has a strategic location and can access existing infrastructure and close proximity to future acid and steam buyers, serving downstream players in the electric vehicle (EV) battery value chain. The acid and steam production can also be used in the HPAL (High-Pressure Acid Leach) based nickel processing plant that processes limonite nickel ore from the SCM Nickel Mine (operated by MDKA’s subsidiary Sulawesi Cahaya Mineral to produce mixed hydroxide precipitate (MHP), a precursor material for the EV battery industry.

According to Tom, the use of pyrite ore residue also proves the company's commitment to responsible and sustainable mining practices. This innovation not only provides economic added value but also opens up new avenues in environmental management and mineral conservation in Indonesia. The AIM Project is expected to increase production and extend the life of the Wetar copper mine, thus bringing a positive impact on the lives of the surrounding communities. 

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