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View all search resultsVale Indonesia, partners gear up for low carbon mining practices
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(Courtesy of Vale Indonesia)
N
ickle matte producer PT Vale Indonesia Tbk (PT Vale) is moving ahead with its sustainability journey, marked by its new partners’ eagerness to comply with the low carbon mining practices.
PT Vale Indonesia along with two partners, Taiyuan Iron & Steel (Group) Co., Ltd (“TISCO”) and Shandong Xinhai Technology Co., Ltd signed a project cooperation framework agreement for the Bahodopi nickel processing facility project on Thursday.
“All parties agree that a gas-fired power plant will supply electricity, supporting PT Vale’s commitment to reducing carbon emissions,” according to a document made available to The Jakarta Post on Thursday.
The agreement was signed by PT Vale Indonesia CEO Febriany Eddy in Jakarta, TISCO president Wei Chengwen and Xinhai Technology chairman Wang Wenlong in Shanghai, and was witnessed, either onsite or online, by Vale CEO Eduardo Bartolomeo, China Baowu chairman Chen Derong, Xinhai Technology board chairman Wang Wenguang, PT Vale Indonesia president commissioner and Vale executive vice president for base metals Mark Travers.
In her speech at the signing of the agreement, Febriany said: “We appreciate that our partners have joined us in our low carbon agenda, agreeing to switch from coal to a gas-fired power plant.”
She went on to say: “We believe this agreement is evidence of the alignment of our sustainability commitments, which is extremely important for PT Vale. We are confident that the three parties will complement each other.”
Meanwhile, Travers said: “This agreement represents a significant opportunity for Vale and for Indonesia.”
The agreement was signed less than two months after Febriany took the helm as CEO and president director of PT Vale Indonesia.
Febriany, who was officially appointed as CEO on April 29, pledged earlier to apply neutral carbon in the firm’s nickel production, a crucial material for the global decarbonation plan to pave the way for sustainability regardless of incredible challenges.
At her virtual speech following her inauguration as PT Vale Indonesia CEO in Jakarta, Febriany also reaffirmed the company’s commitment to reducing the company’s carbon emissions by 2030 before achieving carbon neutrality by 2050.
With regard to the recently signed document, all parties also agreed that within six months of signing the agreement, all technical and financial requirements needed to make a final investment decision are to be completed.
Other significant points in the document include the three parties’ agreement to establish a joint venture company, JV Co, to develop a nickel processing facility at Xinhai Industrial Park, Morowali, Central Sulawesi
“JV Co will build a facility with eight lines of rotary kilnelectric furnace ferronickel processing capacity and estimated annual production of 73,000 metric tons of nickel, together with supporting facilities,” the document says.
Under the deal, PT Vale Indonesia is set to own 49 percent of JV Co with the partners owning 51 percent.
PT Vale is proud of its history as a long-term investor and partner in Indonesia. This commitment to expanding its operations in Indonesia builds on that past to support a sustainable future for both the company’s business and for the country.
PT Vale believes Indonesia will play a leading role in the future of the nickel industry and the company’ is committed to being a trusted and responsible player, creating value and opportunities in the communities where it operates.
