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Nickel ore is one of Antam’s important products. Antam produces and
exports high grade nickel ore with a minimum 1.8% nickel content and a
maximum 25% iron content (saprolite) and low grade nickel ore with a
1.2% minimum nickel content (limonite) and minimum 25% iron content.
Antam has approximately 371.4 million wet metric tons (wmt) of saprolite
and 400.3 million wmt of limonite reserves and resources which could
last for many decades at current extraction rates. While Antam has more
than enough ore to support its current long term nickel expansion plans,
in order to prolong the life of its own reserves, Antam may seek third
party ores to supplement its own supply.
Antam’s nickel ore mines are at Pomalaa, Tanjung Buli and Tapunopaka.
Pomalaa, Southeast Sulawesi, is Antam’s oldest nickel mine and is nearly
depleted. Tapunopaka is Antam’s newest mine, located in Southeast
Sulawesi. Tanjung Buli nickel mine is located in North Maluku.
Antam’s nickel deposits are typically shallow. The limonite rests atop
the saprolite, is cheaper to mine and the first to be extracted followed
by the saprolite. The ores usually can be easily mined and extracted
using an open pit mining techniques using simple truck and shovel
operations. No drilling or blasting is required. Little beneficiation is
required other than drying and screening and sometimes limited crushing
of oversize material. In particular, the lower part of the saprolite
ore is often lumpy and requires crushing to reduce it to the required
size specifications.
Historically Antam extracts between 5-6 million wmt of nickel ores
annually. However, Antam can easily ramp up extraction levels if
necessary. Since 2006, Antam’s annual production has increased
substantially due to strong demand. Some portion of Antam’s saprolite
production is used as feedstock to produce ferronickel, however the
majority of saprolites are mainly exported to Japan and to Europe.
Limonites were previously entirely sold to Australia but since 2007 it
has been exported mainly to China.
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