By Dominikus
Tianshan Aluminum Group Co., Ltd. has commenced development at its indirectly owned bauxite mines in Indonesia, following the recent environmental approval for its alumina refinery project.
The company noted that sourcing bauxite from its own mines will provide a significant cost advantage over market rates. Tianshan holds indirect stakes in three bauxite concessions through its local partner PT Inti Tambang Makmur (ITM), all located in Sanggau Regency, West Kalimantan. The concessions include PT Persada Pratama Cemerlang (10,090 hectares), PT Persada Buana Gemilang (10,150 hectares), and PT Paloan Maju Abadi (8,850 hectares).
“Mining work is progressing at the Indonesian mine. The company continues to advance the construction of supporting facilities and production capacity for these projects. This will gradually increase bauxite self-sufficiency, further consolidating our cost competitiveness,” stated Zhou Jianliang, Tianshan’s Deputy General Manager and Board Secretary, in an investor Q&A session on the SSE Info platform on Monday (25 August).
Read also: Tianshan obtains environmental approval for $1.56 billion alumina project
The mined bauxite will serve as feedstock for Tianshan’s planned alumina refinery project under PT Tianshan Alumina Indonesia (TAI), which is designed with an annual production capacity of 2 million tons. The facility is being developed in Marok Kecil Village, Singkep Selatan District, Lingga Regency, Riau Islands Province. The total investment for the project is estimated at US$1.556 billion.
“The use of our own bauxite will significantly reduce input costs,” Zhou added.
Local authorities have expressed strong support for the project. Lingga Regent M. Nizar recently reaffirmed government backing and estimated that the alumina project could create up to 10,000 jobs, with 2,000 to 3,000 workers expected to be recruited during the initial phase.
Editing by Reiner Simanjuntak
