Minister of Investment Releases Freeport’s Copper Concentrate Delivery

Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia released the departure of the Ajkwa ship transporting PT Freeport Indonesia (PTFI) copper concentrate from Amamapare Port, Mimika, Central Papua, on Monday (15/8) afternoon.
The departure of the Ajkwa ship was part of the delivery of copper concentrate to the first copper smelter (smelter) built by PTFI and the Japanese Consortium in Gresik, East Java in 1996, which is currently managed by PT Smelting.

The departure of the Ajkwa as a feeder vessel carrying 8,600 tonnes of copper concentrate for transfer to the deep-sea vessel Naziha, about 19 km from the pier. The Naziha ship will hold 26,500 tons of copper concentrate to be transported to PT Smelting, and is the 32nd concentrate shipment to PT Smelting that has been carried out since January 2022.

PTFI President Director Tony Wenas explained that the facilities around the Amamapare Port which include a concentrate drying and storage plant, concentrate loading dock, power plant, and cargo dock play an important role in PTFI’s copper concentrate supply chain management.

“As a world-class mining company, PTFI has always been committed to not only carrying out safe and sustainable production, but also implementing good governance to realize sustainable supply chain management,” said Tony who accompanied Minister Bahlil at Amamapare Port, Monday (15/15). 8).

The Amamapare Port area itself is the end of a 110-kilometer pipe that drains copper concentrate sludge from PTFI’s ore processing installations. Arriving at the port, the concentrated slurry will go through a drying process and be stored in a warehouse to then be sent to the smelter.

To date, 40 percent of the copper concentrate produced by PTFI is sent to PT Smelting’s smelter in Gresik. As a form of the company’s commitment to comply with government regulations, PTFI is currently completing the construction of a second smelter in the Gresik Special Economic Zone (SEZ), Java Integrated Industrial and Port Estate (JIIPE).

Tony said PTFI is targeting the completion of the smelter construction, which until the end of July 2022 has reached 36.2 percent to be completed by the end of 2023, which will then be continued with pre-commissioning and commissioning, and start operating in May 2024.

“When our new smelter is operational, it will allow PTFI to purify all of its copper concentrate production domestically. We are well aware that this achievement will make every line of operations that PTFI undertakes to provide multiplier effects that are increasingly meaningful for the nation and the state,” he said. Tony.

Minister Bahlil Lahadalia also expressed his appreciation for PTFI’s commitment to continue to provide added value through various operational activities, including the departure of the Ajkwa Ship. Bahlil hopes that the multiplier effects provided by PTFI will accelerate the distribution of Indonesia’s development, including the distribution of public welfare, and the entry of foreign investment in various regions in Indonesia, especially Papua.

“The Ajkwa ship, which I just departed from, does not only bring copper concentrate, but also brings hope that the multiplier effects created by the copper smelting will continue to benefit the community. On the other hand, the government believes that the involvement of local workers in the Amamapare Port and the smooth running of PT Freeport Indonesia’s production and supply chain will continue to benefit the communities around PT Freeport Indonesia’s operations in Papua,” said Bahlil.