Construction of Antam-CATL RKEF Smelter to Begin in Late September 2025
11 Sep 2025, 12:33 PM
431
PT Aneka Tambang Tbk (ANTM) is targeting the construction of its pyrometallurgical nickel smelter, based on the rotary kiln electric furnace (RKEF) technology, to begin at the end of this month in the Feni Haltim (FHT) industrial area.This nickel refinery is part of a joint investment between Antam and a consortium led by the Chinese battery giant, Contemporary Amperex Technology Co Ltd (CATL).CATL's investment is channeled through Ningbo Contemporary Brunp Lygend Co Ltd (CBL), a joint venture with Brunp and Lygend. The latter two companies have expertise in the production of battery raw materials.Director of Finance and Risk Management, Arianto S. Rudjito, said that the company, together with CBL, is currently finalizing the selection of an engineering, procurement, and construction (EPC) contractor for the project. Arianto hopes the process can be completed to move on to the construction phase by the end of this month."[We] will make the first capital injection, with the hope of commencing construction in late September or October," said Arianto during a public expose on Thursday (September 11, 2025).The project, with an investment value reaching USD 1.4 billion, is targeted to be operational by 2027. The plant's capacity is set at 88,000 tons of nickel pig iron (NPI) per year.ANTM holds a 40% stake in the joint venture formed with CBL that controls the smelter, PT Feni Haltim (FHT)."This is in line with the plan where the construction is scheduled for completion in late 2026 and commissioning in 2027," he said.This smelter project is part of CBL's integrated investment with Indonesia Battery Corporation (IBC) under the project code "Dragon."The integrated investment, from upstream mining to electric battery assembly, is estimated to cost up to USD 6 billion, or around IDR 96 trillion.IBC, together with the CBL consortium, has signed a number of joint ventures (JV) at several stages of the EV battery business, from the upstream or nickel mining side, to the midstream, and finally to the downstream in the form of a battery cell factory.In the upstream sector, three joint ventures were formed, including PT Sumber Daya Arindo (SDA), which manages the nickel mine. Antam holds a 51% stake, while the rest is held by CBL's affiliate, Hongkong CBL Limited (HKCBL).Next, a joint venture for the pyrometallurgical plant or RKEF-based smelter and industrial area was established through PT Feni Haltim (FHT), with Antam holding a 40% share.Meanwhile, Antam holds a 30% stake in the joint venture for the hydrometallurgical or high-pressure acid leach (HPAL) plant.Other joint ventures are being worked on by IBC and CBL, including battery raw materials, battery cell assembly, and recycling. IBC tends to have a minority stake in these midstream to downstream collaborations.IBC holds a 30% stake for the battery raw material processing and battery cell assembly projects. Meanwhile, IBC gets a 40% share in the joint venture for battery recycling.
