AMMAN completes copper smelter with a capacity of 900,000 tons per year

Jakarta – PT Amman Mineral Nusa Tenggara (AMMAN) has completed the construction of a large-scale copper smelter with a capacity to process up to 900,000 tons of copper concentrate per year, the company reported.

President Joko Widodo inaugurated the smelter and said the facility will help Indonesia become a key player in the international copper industry.

“We are no longer just exporting raw materials but now producing finished goods with much higher added value. This is a big step towards downstreaming and realising our aspirations to become an advanced industrial country,” President Jokowi said at the inauguration on Monday, 23 September.

According to him, this smelter’s operation will change the world copper trade map, where global copper products’ future needs will depend on Indonesian production.

AMMAN said that this achievement marks an important step in Indonesia’s mining sector’s downstream process. The sector can now produce value-added copper while reducing dependence on raw material exports.

Cutting-edge technology

AMMAN’s smelter, which processes 900,000 tons of copper concentrate per year, will produce 220,000 tons of high-quality copper cathode. These products meet LME Grade A international standards and are highly demanded by the global electronics, automotive, and construction industries. The smelter will also produce 830,000 tons of sulfuric acid as a by-product with high economic value.

According to PT Amman Mineral Nusa Tenggara President Commissioner Hilmi Panigoro, the smelter is also equipped with an anode mud processing facility or Precious Metal Refinery (PMR), which will produce additional products such as gold, silver and selenium.

“We have completed the construction of the smelter and supporting facilities within 14 months, making it one of the fastest smelter constructions in the world,” Hilmi said.

He added that AMMAN is committed to utilizing advanced Double Flash Smelting technology in its smelter operations. This technology enables AMMAN to produce premium-quality copper while maintaining efficiency and environmental sustainability.

Minister of Energy and Mineral Resources (MEMR) Bahlil Lahadalia assessed that the construction of this smelter will bring economic benefits and create significant new jobs, especially for communities around the mining area. “With this smelter, the added value of our mineral resources will increase, create jobs, increase foreign exchange, and encourage regional economic growth,” Bahlil said.

The smelter construction process involves around 7,000 workers, of which 80 per cent are local workers from various regions in Indonesia, including West Nusa Tenggara.

“The operation of this smelter will help us maintain the resilience of the domestic economy while increasing Indonesia’s competitiveness in the global market. We hope that Indonesia will become stronger in the global copper supply chain,” said Hilmi Panigoro.

According to him, the AMMAN smelter is now in the commissioning stage, which is scheduled for 4-5 months from June 2024. This process involves heating up the smelter furnace and preparing to feed copper concentrate into the facility. The first copper cathode production is scheduled to commence in the fourth quarter of 2024, which will mark the start of full operations of the AMMAN smelter. (Hartatik)

Banner photo: President Joko Widodo inaugurated AMMAN’s copper smelter and precious metals refinery in West Sumbawa on Monday, September 23. (AMMAN Handout)

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