Vale Indonesia Accelerates Three HPAL Smelter Projects: Pomalaa & Bahodopi to Complete in 2026, Sorowako in 2027
Wed 21 Jan 2026, 08:58 AM
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PT Vale Indonesia Tbk (INCO) continues to accelerate the construction of three High Pressure Acid Leaching (HPAL)-based nickel smelter projects in Sulawesi: Pomalaa, Southeast Sulawesi; Bahodopi, Central Sulawesi; and Sorowako, South Sulawesi. These three projects are part of its nickel downstreaming strategy and strengthening the supply chain for the electric vehicle battery industry.
Vale Indonesia's President Director, Bernardus Irmanto, described the Pomalaa Indonesia Growth Project (IGP) as the most advanced. The project, which includes a mine and HPAL smelter, is being developed in collaboration with Chinese partner Zhejiang Huayou Cobalt and the American automotive company Ford Motor. The total investment reaches USD 4.5 billion, or approximately IDR 76.2 trillion (exchange rate of IDR 16,935/USD).
"The HPAL plant's construction progress has reached 60 percent, while the mining sector has also reached 60 percent. Two autoclaves have arrived, and three more will follow, bringing the total to five autoclaves. Mechanical completion is targeted for August 2026," Bernardus said during a House of Representatives Commission XII hearing on Monday (January 19, 2026).
The Pomalaa Smelter has a production capacity of 120,000 tons of mixed hydroxide precipitate (MHP) per year, with ore supplied from the Pomalaa Block, which can produce 7 million tons of nickel saprolite and 21 million tons of nickel limonite per year. By August 2026, the smelter will be ready to receive a three-month stockpile of nickel ore. The project is also expected to employ 5,150 workers.
The second project is the Morowali IGP in Bahodopi, developed in collaboration with Chinese company GEM and South Korean company Ecopro. The Bahodopi HPAL smelter is targeted to reach mechanical completion in the fourth quarter of 2026, with a production capacity of 66,000 tons of MHP per year. The smelter's raw materials will be supplied from a mine capable of producing 5.5 million tons of nickel saprolite and 10.4 million tons of nickel limonite per year, and requires an ore supply for three months of operation. The project is estimated to employ 3,579 workers.
The third project, the Sorowako Limonite IGP in South Sulawesi, is being developed in collaboration with Zhejiang Huayou Cobalt, with a third potential partner still in the assessment stage. Construction of the smelter is only 17 percent complete, with a production capacity of 60,000 tons of MHP per year and an annual ore supply of 11.5 million tons of nickel limonite. The Sorowako smelter is targeted to begin operations in 2027.
Bernardus emphasized the importance of support from Commission XII of the House of Representatives (DPR) regarding the sustainability of nickel ore supplies so that the three smelter projects can proceed as planned. "At least two autoclaves are expected to be completed in Pomalaa by August 2026, followed by the completion of the entire line by January 2027. Bahodopi is expected to be completed in the fourth quarter of 2026, and Sorowako is expected to begin in 2027," he said.
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