Representatives from several Japanese energy corporations approached the Directorate General of Mineral and Coal (Minerba) on Monday, July 17, 2023, to discuss the potential investment in the development of nickel and cobalt.
Acting Director General of Minerba, Muhammad Wafid, stated that the two-hour meeting primarily focused on the exchange of information.
During the meeting, the Directorate General of Minerba presented the availability of Indonesia’s nickel reserves, while the Japanese company delegates outlined their plans to strengthen the development of batteries for electric vehicles as part of their efforts to achieve the target of net-zero emissions by 2060.
“They inquired about nickel and cobalt. Minister directed them to focus on electric motorcycles, specifically,” Wafid said at the Ministry of Energy and Mineral Resources on Monday (July 17).
Wafid explained that although the bilateral meeting is yet to proceed to discuss future investment plans, one of the companies is potentially interested in investing in the mineral sector.
The interest came considering Indonesia’s significant reserves of cobalt and nickel, which serve as abundant raw materials for the production of electric vehicle batteries.
Japan’s investment trace in Indonesia
Japan often engages in investment relations in the development of new and renewable energy with the Indonesian Government.
One of them is the development of green hydrogen and green ammonia between PT Pertamina Power Indonesia (Pertamina NRE) and Tokyo Electric Power Company Holdings, Incorporated (TEPCO HD).
The two energy companies signed a memorandum of understanding back on March. This memorandum of understanding includes the implementation of verification surveys, joint selection of hydrogen production areas, identification of market segments, and market development.
Through this joint study agreement, both companies will develop green hydrogen and ammonia with cost efficiency.
In the commercialization phase, their priority target is the Indonesian domestic market, and in the medium to long term, it will expand to the export market to Japan.
The signing was conducted by the Chief Executive Officer of Pertamina NRE, Dannif Danusaputro, and the Executive Vice President & Chief Innovation Officer (CIO) of TEPCO HD, Chikara Kojima.
