Coordinating Minister for Economic Affairs Airlangga Hartarto revealed that the nickel downstream industry in Morowali has a new player from Australia, namely Nickel Industries.

The company, according to him, has committed to pouring USD 1.76 billion in investment to build the excelsior nickel cobalt (ENC) high-pressure acid leach (HPAL) project in the Indonesia Morowali Industrial Park (IMIP).

The construction process has been carried out since October 2023. However, he confirmed that the company, which cooperates with Tsingshan, will start production in the first half of 2025 and absorb 3,500 workers.

"The plan is to start production in early 2025 and employ 3,500 people," said Airlangga in his office in Jakarta on Friday (8/3/2024).

Airlangga said that the Australian nickel downstream company's investment is important for Indonesia because it will diversify foreign companies in Morowali, which has been considered dominated by Chinese companies.

"Not all investment in the nickel sector, in the downstream, is from Chinese investors, but there are also those from Australia," he said.

"So, in 2025, HPAL will operate in Morowali where Nickel Industries, a company listed in Australia, will be one of the largest shareholders," said Airlangga.

The government claims the Australian company's project will be the first to globally produce three first-class nickel products for the electric vehicle and battery market, namely mixed hydroxide precipitate (MHP), nickel sulfate, and nickel cathode.

Image source: CNBC Indonesia / FAISAL RAHMAN
Source: https://www.cnbcindonesia.com/news/20240308183843-4-520875/perusahaan-nikel-australia-di-morowali-siap-produksi-mulai-2025