PT United Tractors Tbk (UNTR) continues to drive business diversification in the non-coal sector. One of the other business segments that UNTR wants to strengthen is nickel mining and processing.As is known, UNTR operates the Stargate mineral mine in North Konawe, Southeast Sulawesi. The mine is the result of an acquisition carried out by UNTR through its subsidiary PT Danusa Tambang Nusantara of PT Stargate Pacific Resources and PT Stargate Mineral Asia which occurred in late 2023. At that time, UNTR spent IDR 3.22 trillion for the acquisition process.In addition, UNTR through Danusa Tambang Nusantara also acquired 857 million shares or equivalent to 19.99% of Nickel Industries Limited in 2023. Nickel Industries Limited is an Australian company that has a portfolio of nickel mining assets in Indonesia.United Tractors Director Iwan Hadiantoro said that his party is quite serious about expanding in the nickel industry sector. Currently, UNTR is strengthening its business in the Stargate nickel mine. So far, the productivity of the mine is still relatively small, with the realization of production of 1.9 million nickel ore in 2024."Stargate sales are also not large, but this is because we are currently constructing the RKEF (Rotary Klin Electric Furnace) smelter," he said in a press conference, Friday (25/4).The RKEF smelter is targeted to be operational in 2027 with a nickel pig iron (NPI) production capacity of 13,000 tons per year. During the construction of the smelter, nickel production at the Stargate mine will be relatively stagnant in 2025 and 2026, namely in the range of 2-2.5 million tons per year.Once entering 2027 or when the RKEF smelter is operational, nickel production from the Stargate mine will increase to 3 million tons per year. "We will optimize this nickel production to supply the RKEF smelter," said Iwan.In addition to the RKEF smelter, UNTR is conducting a feasibility study for the construction of a High Pressure Acid Leach (HPAL) smelter which is also located in the Stargate operating area. The feasibility study process is targeted to be completed in 2025, so that the company can determine whether the project can be continued or otherwise.
Source https://djakarta-miningclub.com