Indonesia advances mineral downstreaming with smelter restarts and US$ 10.2 billion in new projects

Indonesia is advancing its mineral downstreaming strategy through significant industrial developments in the copper and nickel sectors. PT Freeport Indonesia (PTFI) has resumed operations at two major copper processing facilities, PT Smelting and the Manyar Smelter in Gresik, East Java. These facilities are expected to optimize copper concentrate processing, with a combined target capacity of approximately 800,000 tons of copper cathodes per year.

In a separate major development, President Prabowo Subianto inaugurated 11 strategic downstreaming projects valued at US$ 10.2 billion (approximately Rp 180 trillion). A key component of this investment includes the Indonesia Weda Bay Industrial Park (IWIP) in Central Halmahera, which hosts global mining and energy giants Glencore and Trafigura. The projects aim to build a comprehensive supply chain for nickel-based battery materials, electric vehicle battery separators, aluminum electrolysis, and solar power components, drawing investment from various nations including Australia and India.