Palu SEZ secured $1.75 billion investment for battery gigafactory and LNG hub

Indonesia's Palu Special Economic Zone (SEZ) has secured a US$1.75 billion investment commitment from Singapore‑based clean‑energy platform Aslan Energy Capital. The deal, formalised by a memorandum of understanding, will create an integrated Battery Energy Storage System (BESS) gigafactory and an international‑scale liquefied natural gas (LNG) hub on about 40 hectares within the SEZ.

The initial phase targets an annual production capacity of 8 GWh, with plans to expand to 12‑15 GWh. The project aims to strengthen Indonesia’s downstream nickel processing and battery supply chain, serving domestic demand and exports to ASEAN, Australia and the United States. It is projected to directly employ roughly 1,300 skilled workers and generate over 3,000 indirect jobs.

PT Bangun Palu Sulawesi Tengah President Director Sony Panukma Widianto described the partnership as a “transformative leap” for Indonesia’s energy independence and industrial competitiveness. Aslan Energy Capital CEO Muthu Chezhian highlighted Palu’s strategic combination of nickel resources, maritime connectivity and government support for the global energy transition.