Publicly listed nickel producer PT International Nickel Indonesia (Inco) said it will spend around $212 million this year, Asia Pulse reported Friday (28/3/08).
Inco president Arif S. Siregar said $60 million of the expenditure will be for project construction, $70 million for routine expenditure, $42 million for environmental reclamation and $29 million for other costs.
Siregar said the company, which more than doubled its net profit to $1.173 billion in 2007 from $513 million in the previous year, would not need loans to finance the spending.
The subsidiary of Canadian-based Inco Ltd is building a $280 million dam on the Larona river in Karebbe to feed a company's hydropower plant.
It also plans to build a new nickel smelter in its mining concession in Soroako in South Sulawesi to cost around $1.1 billion.
This year, the company's production is forecast to peak at 79,000 tons of nickel from 76,748 tons last year.