Antam's closure impact small

Antam's closure impact small

JAKARTA (Reuters): Indonesia's state nickel and gold producer PT Aneka Tambang (Antam) said on Friday the closure of its Sulawesi ferronickel smelter would not effect output in the short term.

Antam temporarily shut its first Sulawesi ferronickel smelter on Tuesday following an accident. It did not provide further details or elaborate on any damage.

"If (closed) for only two-to-three weeks, we can still reach the target," company spokesman, Dohar Siregar said.

The closure was at its first ferronickel smelter, FeNi I. It also has a second smelter, FeNi II.

The two plants are expected to produce 10,300 tones this year.

Antam said it had insured the smelter covering all risks and anticipated it would recover its material and revenue losses within six months.

The bulk's of Antam's revenue comes from ferronickel and it also sells nickel ores, gold, bauxite, iron sand and silver.

It is currently building a third ferronickel smelter to double production.