Rosan: Sambalagi HPAL Project Strengthens Indonesia's EV Battery Ecosystem

Investment Minister and Head of the Investment Coordinating Board (BKPM) Rosan Peres Roeslani has stated that the Sambalagi High Pressure Acid Leaching (HPAL) project in Morowali, Central Sulawesi, strengthens the national electric vehicle (EV) battery industry ecosystem. He noted that the project demonstrates that Indonesia’s mineral downstreaming has entered a more advanced stage, moving beyond creating mineral added value to building an integrated, competitive, and sustainable EV battery industry ecosystem. “Sambalagi HPAL sets a new standard, not just following existing ones. This project is tangible proof that collaboration between Indonesia, South Korea, and China can align with national interests, namely building resource sovereignty, creating jobs, and improving community welfare,” Minister Rosan said. The remarks coincided with the arrival of the autoclave, the main equipment for the Sambalagi HPAL project, on 22 July 2026. The project is part of a National Strategic Project (PSN) for integrated nickel industry development located in the Indonesia Green Industrial Park (IGIP), Morowali. The installed autoclave has a capacity of 1,268 cubic metres and is described as the latest generation. According to data from GEM Co., Ltd., the construction executor, the unit is the largest capacity facility ever applied in an HPAL project. The Sambalagi HPAL project is being developed by PT Bahodopi Nickel Smelting Indonesia (BNSI), a joint venture between PT Vale Indonesia Tbk, GEM Co. Ltd. from China, and EcoPro from South Korea. The facility will process limonite ore into Mixed Hydroxide Precipitate (MHP), a key raw material for the EV battery industry, with a production capacity of approximately 90,000 tonnes of contained nickel per year. In terms of employment, the project is projected to absorb around 6,000 workers during the construction phase and approximately 3,600 workers during operations, including mining and processing activities. Minister Rosan emphasised that the construction of the Sambalagi HPAL facility is part of the government’s strategy to complete the national nickel industry value chain, from MHP production to nickel sulfate, precursor, cathode active material, and finally EV batteries. He expressed hope that Indonesia will no longer be merely a raw material exporter but a key player in the global EV supply chain. “We have designed a green industrial cluster from upstream to downstream, and HPAL is the first gateway,” he said. In addition to strengthening nickel downstreaming, the project is designed with sustainability principles. The Sambalagi HPAL facility is projected to move towards Net Zero Emissions from the planning stage through the utilisation of waste heat recovery systems and solar energy to support low-carbon operations. The government also appreciated the company’s commitment to providing community benefits through infrastructure development, social facilities, local workforce training, and the construction of an HPAL Research Centre to strengthen national technological independence. “We are building a complete downstream ecosystem and a better future for the people of Central Sulawesi and Indonesia. This is the true meaning of downstreaming: creating value, creating opportunities, and creating hope,” Minister Rosan said.