Indonesia Opens New Copper Smelter as Amman Mineral Targets Local Processing
On Monday, September 23, President Joko Widodo inaugurated a new copper smelter in Indonesia, operated by Amman Mineral. The facility is part of Indonesia’s efforts to enhance its position in global copper production and reduce reliance on exporting raw materials.
The new copper processing plant, located in West Nusa Tenggara, was built at a cost of IDR 21 trillion (USD 1.37 billion) and is expected to play a key role in processing copper sourced domestically. The facility has the capacity to process 900,000 kilotons of concentrate annually from Indonesia’s Batu Hijau mine and the upcoming Elang project. Once fully operational, it will produce 222,000 kilotons of copper cathodes and 830,000 kilotons of sulfuric acid each year. Additionally, the plant’s Precious Metal Refining (PMR) unit will yield 18 tons of gold, 55 tons of silver, and 70 tons of selenium annually.
Jokowi emphasized that this project is part of Indonesia’s broader initiative to process its own natural resources rather than exporting raw materials. He noted that copper is essential for a range of industries, including the production of cathode sheets, cables, and copper foil. The Indonesian government views this development as a crucial step toward positioning the country as a more advanced industrial economy.
The inauguration of the facility follows various challenges in its construction, including delays caused by the COVID-19 pandemic. Minister of Energy and Mineral Resources, Bahlil Lahadalia, remarked that the completion of this smelter is an important milestone for Indonesia’s copper sector, as it is the first such facility owned by a national company. He noted that the smelter represents a major development for the downstream copper industry in Indonesia.