Aluminum producer PT Indonesia Asahan Aluminium, or Inalum, has revealed that the company will invest up to Rp 90 trillion or US$ 5.7 billion until 2030.
Inalum President Director Danny Praditya said in Inalum’s Long-Term Plan (RJPP) until 2030, the company has calculated that it needed an investment of up to Rp 90 trillion or US$ 5.7 billion for business development.
“We are talking about the balloon, yes, with all the plans in our RJPP until 2030 or maybe with other developments until 2030, we need approximately Rp 90 trillion,” Danny said as quoted by CNBC Indonesia on Thursday.
Some of the company’s development projects currently underway include the construction of the Smelter Grade Alumina Refinery (SGAR) project in Mempawah, West Kalimantan, which is planned to be completed and commissioned in the first semester this year.
“We hope that in Semester I-2024 the Smelting Grade Alumina Refinery project in Mempawah will be operational or commissioned,” he said.
Furthermore, Danny said that SGAR is expected to start production and delivery in September of October 2024.
He revealed that SGAR’s construction progress has exceeded the 2023 target of 80 percent.
“Alhamdulllah (Thank God) SGAR construction progress as of 31 December 2023 has reached 83.2 percent, well above our target in 2023 of 80 percent,” he said.
He added that the company’s success to beat the deadline had made them confident of being able to complete the project in June 2024.
“So it is expected that we are still very confident that in June (2024) we can finish,” he said.
In addition, in 2024 the company also plans to take the Final Investment Decision (FID) on two major projects, namely the aluminium smelter expansion project in Kuala Tanjung, North Sumatra, and the SGAR phase 2 project in Mempawah, West Kalimantan.
“We hope to reach FID for two projects, the first is the brownfield or the development of an aluminium smelter in Kuala Tanjung with a capacity of 600 thousand tons and the SGAR phase 2 project that will increase alumina production capacity to 3 million tons from the current 1 million tons per year,” Danny said.
That way, he said, if all processes run smoothly, the SGAR phase 2 construction process will be carried out in 2025.
Inalum’s aluminium production in 2024 is targeted to increase to 274,140 tons, from the previous 250,000 tons.
This increase in production is also triggered by its collaboration with an Arab company, Emirates Global Aluminium (EGA).
