PT Aneka Tambang Tbk (ANTM) and PT Indonesia Asahan Aluminium (Inalum) have successfully completed Phase I of their Smelter Grade Alumina Refinery (SGAR) in Mempawah, West Kalimantan. As part of their ongoing commitment to downstream development, the two companies, which are both members of the state-owned mining holding MIND ID, have confirmed they will proceed with Phase II of the SGAR project, aiming for an alumina production target of 2 million tons.

Chief Operating Officer (COO) of Antam, I Dewa Wirantaya, stated that for Phase II, the company is continuing its partnership with Inalum, reinforcing the synergies within the state-owned enterprise (BUMN) group under MIND ID. Regarding the progress of Phase II, Dewa confirmed that the project is currently at the Bankable Feasibility Study (BFS) stage, which is a critical step in assessing the project's viability.

"We are currently continuing our collaboration with Inalum to complete the Bankable Feasibility Study (BFS)," said I Dewa Wirantaya, Chief Operating Officer (COO) of Antam, in a statement quoted on Monday, November 18.

Dewa added that Antam expects the BFS to be completed by the first half of 2025, after which the project will move forward to the Final Investment Decision (FID) stage.

Regarding the progress of SGAR Phase I, Dewa noted that the commissioning process has been completed, and the refinery is expected to begin commercial operations in the first quarter of 2025.

Furthermore, Dewa explained that while there is potential for third-party collaboration, Antam and Inalum will need to await the results of the BFS to determine the viability and success of the project before making any decisions.

"Regarding third-party involvement, we are waiting for the results of the Bankable Feasibility Study (BFS) to see which parties, whether external or overseas, might be interested in collaborating and joining the SGAR Phase II project," said Dewa Wirantaya, COO of Antam.

For context, the Smelter Grade Alumina Refinery (SGAR) project is owned by PT Borneo Alumina Indonesia (PT BAI), a subsidiary of PT Indonesia Asahan Aluminium (Inalum) and PT Aneka Tambang Tbk (Antam), both of which are part of the state-owned mining holding MIND ID.

The Smelter Grade Alumina Refinery (SGAR) in Mempawah officially began operations with the inauguration of its first bauxite injection ceremony, which was conducted by President Joko Widodo (Jokowi) on Tuesday, September 24.