Huayou Indonesia, a nickel processing and refining company, has reaffirmed its commitment to environmental sustainability through the implementation of Environment, Social, and Governance (ESG) practices from the upstream nickel ore preparation to the midstream processing and refining stages.

Huayou Indonesia is part of the international industrial and operational integration of Zhejiang Huayou Cobalt.

Marvel Hu, Chief Representative of Huayou Indonesia, stated that the company has implemented ESG practices by designing and building high-tech green factories that significantly reduce electricity consumption.

He highlighted that this energy saving is achieved by using slurry pipes in every distribution process of nickel ore from the mine to the plant, with the pipes extending up to 65 kilometers. This method is claimed to have lower carbon emissions compared to the conventional distribution method of truck hauling.

"In line with the company's efforts to reduce carbon emissions, we have also implemented a plant layout that takes advantage of topographical benefits, such as using gravity by designing the plant on high ground, and then channeling production to the midstream processing plant on lower ground, utilizing the most advanced processing technology," Marvel said at the "ESG 2024 Conference: Optimizing ESG to Drive Sustainable Business and Value Creation" event held at the Indonesia Stock Exchange (IDX) on Wednesday, August 14.

In addition to establishing environmentally friendly factories, Marvel added that Huayou Indonesia is also committed to contributing to the local community and economy. He claimed that the company continuously participates as part of the community through various community empowerment programs, collaborations with Village-Owned Enterprises (BUMDes), and associations with local businesses around the plant area.

According to him, Huayou Indonesia has recruited a public relations team consisting of local talents, ensuring better communication with the community and fostering a sustainable relationship between the company and the local population.

"In line with our investment principle, 'Wherever we invest, we must contribute to the local economy and community,' we also help empower the community in Konawe, Southeast Sulawesi, by building an agricultural business chain through the Village-Owned Enterprises (BUMDes). This not only creates business opportunities for the local community but also provides the company with a long-term supply of vegetables," Marvel said.

On another front, the company has implemented a mangrove planting program around the project area. The plan is to plant approximately 11 hectares of mangrove forest, which is expected to contribute to the environmental conservation of the local community.

"Going forward, we will establish higher ESG standards in Indonesia by continuously engaging in Research and Development practices to reduce carbon emissions. This aligns with the government's vision for Net Zero Emissions by 2050," Marvel concluded.