Intensively Attracting Investment in EV Batteries, This Is the Latest RI Nickel Reserves

Intensively Attracting Investment in EV Batteries, This Is the Latest RI Nickel Reserves

Source: | July 1, 2024

The Ministry of Energy and Mineral Resources (ESDM) released the latest national mineral resource and reserve balance data, one of which is nickel.

This data is contained in the Decree of the Minister of Energy and Mineral Resources (ESDM) Number 132.K/GL.01/MEM.G/2024 concerning the Balance of National Mineral and Coal Resources and Reserves in 2023 which was determined on June 19 2024.

The issuance of this Minister of Energy and Mineral Resources Decree is due to the fact that the national balance sheet of mineral and coal resources and reserves has an important role in determining national policy in the field of energy and mineral resources.

Based on the Ministerial Decree, quoted Monday (1/7/2024), inferred resources for nickel ore were recorded at 8.67 billion tonnes and for nickel metal at 92.23 million tonnes.

Then, indicated nickel ore resources were recorded at 6.10 billion tons and nickel metal at 55.58 million tons. For measured resources, nickel ore is at 3.76 billion tonnes and nickel metal at 36.78 million tonnes.

Thus, the total nickel ore resources are currently 18.55 billion tons and for nickel metal it is 184.60 million tons.

In terms of reserves, Indonesia is recorded to still have total nickel ore reserves of 5.32 billion tonnes and nickel metal of 56.11 million tonnes.

The total nickel reserves consist of probable reserves of 3.42 billion tonnes of nickel ore and 35.91 million tonnes of nickel metal, as well as proven reserves of 1.90 billion tonnes of nickel ore and 20.20 million tonnes of nickel metal.

Meanwhile, the Ministry of Energy and Mineral Resources recorded that total nickel production during January-December 2023 reached 175.61 million tons.

Intensively Attract Investment in EV Batteries

The government is aggressively attracting investment in the electric vehicle (EV) battery ecosystem in Indonesia. This encouragement is not without reason, because the raw material for making batteries for electric vehicles, namely nickel, is very abundant in Indonesia.

It is recorded that there has been a number of collaborations between domestic companies and a number of foreign investors to develop the EV battery supply chain.

For example, cooperation between battery players from China, Contemporary Amperex Technology Co. (CATL) via PT Ningbo Contemporary Brunp Lygend Co, Ltd. (CBL) with Indonesia Battery Corporation (IBC) to build an integrated battery supply chain from upstream to downstream worth US$5.8 billion, equivalent to IDR 90.50 trillion (assuming an exchange rate of IDR 15,605 per US dollar).

Then, collaboration between PT Vale Indonesia Tbk (INCO) with Zhejiang Huayou Cobalt Co and Ford Motor Company to build a high-pressure acid leach (HPAL) smelter which produces EV battery raw materials in the Pomalaa Block, Southeast Sulawesi.

In January 2024, the Minister of Investment/Head of BKPM Bahlil Lahadalia reported that the total investment commitment in the electric vehicle ecosystem that was successfully attracted to Indonesia as of the fourth quarter of 2023 had reached US$42 billion or IDR 630 trillion.

The total investment commitments came from LG Energy Solution US$9.8 billion, CATL US$5.2 billion, Foxconn US$8 billion, INBC US$9 billion, Ford US$4.5 billion, Volkswagen US$2-US$3 billion, and BASF US $2.2-US$2.5 billion.


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The Company’s journey began with the story of a growing small trading business, and in more than 75 years has engaged in investment/divestment business, has reached various achievements and delivered the Company to become one of the leading corporations in Indonesia.