The Indonesian government is in talks with UAE’s Emirate Global Aluminium to develop its aluminium industry, as the Southeast Asian nation seeks to utilize its vast reserves of minerals.
Indonesia has rich deposits of minerals like copper and bauxite — the main source of aluminium — and is the world’s largest source of nickel. Its government has been working to attract foreign investment to help develop its mineral processing industry.
In a meeting with EGA CEO Abdulnasser Ibrahim Saif bin Kalban, Coordinating Minister for Economy Affairs Airlangga Hartarto discussed ways to move forward plans for the Dubai-based company to help aluminium production in Indonesia.
“We need to make sure that cooperation in the aluminium sector will have a significant impact on the Indonesian economy, especially for jobs creation,” he said in a statement issued on Saturday.
Hartarto was at the World Governments Summit in Dubai, where he also held talks with other UAE officials and business leaders.
EGA and state-owned Indonesia Asahan Aluminium, or Inalum, have signed several strategic partnership agreements in the last few years, aimed at boosting Indonesia’s aluminium production capacity. This includes increasing that of Inalum’s North Sumatra smelter by up to 400,000 tons a year.
The Emirati company, one of the world’s largest aluminium producers, also said it was planning to explore alternative sources of renewable energy in Indonesia to support its aluminium production plans.
“With our capabilities and the advanced technology that we use, along with the natural resources potential in Indonesia — we will be able to produce the best alumina in high quantities,” Abdulnasser was quoted as saying.
But Indonesia still needs to work out low-carbon options to generate enough electricity for green aluminium production, according to the Coordinating Ministry for Economic Affairs.
Green aluminium, or low-carbon aluminium, is a sustainable metal produced using methods powered by renewable energy sources, essentially reducing the carbon footprint.
