Ternate, Maluku, Aug 18 (Antara) - Minister for State Companies (BUMN) Rini M Soemarno has inspected progress in the construction of a Rp3.5 trillion ferro-nickel plant in the district of East Halmahera, North Maluku.

The project owned by state-owned general mining company PT Aneka Tambang (PT Antam) is to be completed in 2019.

"Construction of the ferro-nickel factory by PT Antam will certainly improve the welfare of the local people as it would open more jobs in this area," Rini said after inspecting the project at Maba on Thursday.

She said PT Antam should give priority to local job seekers in recruiting workers for the project to help reduce unemployment in East Halmahera.

The project occupies a land plot of 39,000 hectares and uses a power plant with a capacity of 70 megawatts.

Rini said her visit to East Halmahera was to see the progress of work in the project.

PT Aneka Tambang and its partner the consortium of PT Wijaya Karya Tbk (WiKa) Kawasaki Heavy Industries, Ltd (KHI) started the construction of the project in April this year marked with the installation of first piling.

Chief Executive of PT Antam, Arie Prabowo Ariotedjo said the publicly traded company would increase its ferro-nickel production capacity by 13,500 tons to 42,000 tons annually when the new factory has been in operation.

The new factory will be the fourth unit of ferro-nickel plant of PT Antam . It already has three units in South Sulawesi -- FeNi I on stream in 1976; FeNi II in 1995 and FeNi III in 2007.

The EPC (engineering, procurement and construction) of the project is handled by PT Wijaya Karya Tbk , a listed state-owned construction and its partner Kawasaki Heavy Industries, Ltd. The EPC contract was signed on Dec. 21, 2016.

Pewarta: Abdul Fatah

Editor : John Nikita S


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