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Minister Airlangga visits China, discusses R&D cooperation with UGM Faculty of Engineering
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fter attending the Nikkei Forum in Tokyo for two days, Coordinating Economic Minister Airlangga Hartarto took advantage of the recent long weekend to visit the integrated industrial facilities of CNGR based in Qinzhou, southern China, which is the closest part of China to Southeast Asia, approximately 90 kilometers from Nanning. During this visit, Minister Airlangga was received directly by Deng Wei Ming, chairman of CNGR.
"CNGR is committed to cooperating with leading universities in Indonesia in the development of industrial material technology diversification for new energy in Indonesia,” Deng explained to the minister.
CNGR is one of the major Chinese conglomerates engaged in nickel processing from upstream to downstream. It leads development and innovation in the field of energy materials and is recognized as the world leader in new energy materials. CNGR implements four types of modernization, technological diversification, global development, operational digitization and industrial ecological creation.
As an integrated industry in nickel processing, CNGR produces ternary precursor synthesis and electrolytic nickel. CNGR plans to invest Rp 168.2 trillion over the next 20 years and has already invested Rp 32.1 trillion in Indonesia since 2021. CNGR has built nickel processing industrial facilities in Morowali, North Morowali, Weda Bay and Batulicin.
Currently, CNGR is developing an integrated area in North Konawe called the Konasara Green Tech Industrial Zone (KITHK), covering over 5,000 hectares, with construction set to begin in the fourth quarter of 2024. This project will employ 28,000 local workers.
To ensure the sustainability of natural resources and the resilience of Indonesia's mineral reserves, CNGR processes nickel ore using oxygen enriched side blown furnace (OESBF) technology. This is the first industry in the world to implement the utilization of nickel ore with a wider grade range, energy efficiency that minimizes carbon emissions and environmentally friendly waste production that can be utilized by other industries.
In addition, as a result of synergy with Indonesia's mineral downstream policy, CNGR has successfully produced electrolytic nickel (nickel cathode) with a purity of 99.99 percent. As of May 23, Indonesian nickel has entered the metal supply chain at the London Metal Exchange.
During the visit, Airlangga inspected various industrial facilities, including the OESBF technology facility for mineral reserve resilience due to its ability to extract a wider range of nickel grades. He also visited the electrolytic nickel facility, which uses centrifuge extraction technology, and observed the technology for producing lithium battery precursor materials. CNGR has been the top global supplier of precursors for the lithium battery industry for four consecutive years, supplying many leading companies such as Tesla, Samsung, LG, SK and Panasonic.
After directly inspecting various technological innovations within the integrated supply chain for electric vehicles (EVs), Airlangga also encouraged CNGR to assist in developing new energy material R&D in collaboration with higher education institutions, specifically the Faculty of Engineering at Gadjah Mada University (FT UGM). This cooperation aims to establish a metal energy R&D center. UGM, in turn, will promote the development of the Engineering Research Innovation Center, which currently focuses more on recycling, rare earth elements and material deposits in Indonesia. With CNGR's support, the focus will shift more toward new energy materials.
Accompanying Minister Airlangga on the visit to China were the dean of FT UGM Prof. Selo, Prof. Tumiran and Prof. Bayu Himawan. As a follow-up, CNGR will soon visit UGM, led by Shuo Yin, chief expert from the General Institute of Research CNGR.
This article was published in collaboration with Coordinating Ministry for Economic Affairs Republic of Indonesia
