Aneka Tambang building smelter

Aneka Tambang building smelter

JAKARTA: Indonesian gold and nickel producer PT Aneka Tambang, or Antam, said it plans to start building its ferronickel smelter in Southeast Sulawesi early next month, Antam's President Dedi Aditya Sumanagara told reporters on Wednesday.

He said the company will use proceeds from a recent US$200 million bond issue to develop the smelter, which is expected to begin commercial operations at the end of 2005.

Antam currently has two ferronickel smelters in East Pomalaa, Southeast Sulawesi, with a combined production capacity for nickel contained in ferronickel of 11,000 tons a year.

The new smelter will have a capacity of 15,000 tons a year, Dedi said.

He didn't offer any other details.--Dow Jones