Antam plans Tayan bauxite operations<\/p>\n
SINGAPORE (Dow Jones): Indonesia's PT Aneka Tambang, or Antam,
\nexpects bauxite production at its Tayan prospect to start in 2004
\nat one million wet metric tons a year, the company's spokesman,
\nCameron Tough, told Dow Jones Newswires Monday.<\/p>\n
Apart from the bauxite mining, Antam expects to form a US$150
\nmillion joint venture with two other international companies to
\nproduce alumina at 300,000 tons\/year for the Tayan project, Tough
\nsaid.<\/p>\n
Bauxite is raw material for alumina production. Aluminum is
\nmade from alumina.<\/p>\n
Antam, a major Indonesian nickel producer, will hold 51% in
\nthe joint venture.<\/p>\n
The Tayan prospect is in West Kalimantan, and the contract of
\nwork area covers 12,620 hectares.<\/p>\n
Indonesia's Department of Mineral Resources and Energy has
\ngiven preliminary approval to Antam's application for a Contract
\nof Work, which means the company can seek foreign partnership,
\nTough said.<\/p>\n
However, the identity of the two international partners can't
\nbe revealed until the Indonesian president gives a final
\nendorsement for the Contract of Work application, he added.<\/p>\n
The estimated mine life of Tayan is 100 years, according to
\nTough.<\/p>\n
Alumina output will be for both export and domestic sales, he
\nsaid. Antam expects an 18% return on investment.<\/p>\n
Currently, Antam's Kijang mine on Bintan island is the
\ncompany's sole operating bauxite mine, with three million wet
\nmetric tons of reserves left. The mine will be closed in two to
\nthree years, Tough said.<\/p>\n
Antam's other bauxite deposit is at Kendagawangan, also in
\nWest Kalimantan.<\/p>\n
In 2000, Antam sold 1.24 million wet metric tons of bauxite.<\/p>\n
The Indonesian government owns 65% of Antam, while the
\nremaining stake is free-floated on the Indonesian stock exchange.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/antam-plans-tayan-bauxite-operations-1447893297",
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"sponsor": "Okusi Associates",
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