Inco gets equity injection

JAKARTA (JP): Parent companies of the listed PT International Nickel Indonesia (Inco) would inject an equity investment of US$2 billion for its nickel mining in southern Sulawesi.

"We will inject two billion dollars to finance the expansion of our mining operation in Soroako, southern Sulawesi," James D. Guiry, Inco's president, was quoted by Antara as saying in Singapore Wednesday.

Inco, which is listed on the Jakarta Stock Exchange, is 58.2 percent owned by Inco Ltd. of Canada, 20.1 percent by Sumitomo Metal Mining Co. of Japan and 20.0 percent by the investing public, while the remaining five percent is owned by five other Japanese firms.

Guiry said that the expansion is targeted to increase Inco's annual production capacity to 68 million kilograms from 45 million kilograms at present.

Inco reported in April that its unaudited net profit tripled to $25.8 million in the first quarter of this year from $8.7 million in the same period of last year. (hdj)