Inaugurating The Expansion Of A Copper Processing Factory In Gresik, Minister Airlangga: Can Encourage Freeport's Domestic Production Process

Groundbreaking for the expansion of PT Smelting's factory in Gresik Regency, East Java. (Photo: Doc. Antara)

JAKARTA - The plan to expand PT Smelting's factory in Gresik Regency, East Java has the support of the Coordinating Minister for the Economy, Airlangga Hartarto. The expansion of the copper processing plant to a production capacity of up to 30 percent of the previous capacity is expected to accommodate the entire production of PT Freeport Indonesia.

"The current production capacity reaches 300 thousand tons of cathode, and with the expansion through an investment of IDR 3.2 trillion, it is expected to be 342 thousand to 350 thousand tons of copper cathode per year", said Airlangga, quoted by Antara, Saturday, February 19.

He said this expansion also complements what was previously inaugurated by President Jokowi, with a total absorption capacity of 1 million concentrate covers and will be 1.3 million in this location, plus the Java Integrated Industrial and Port Estate (JIIPE) Gresik area which will increase to 2 million tons of concentrate per year.

With the continued expansion and development of the industry in Gresik, it is hoped that all of Freeport's production can be processed domestically. In addition, this proves that Indonesia's strength in the industry can continue to be improved, and Gresik is expected to become a concentrated industrial management cluster.

Director of Business and Commercial Development, Irjuniawan P Radjamin, said the construction of this factory expansion would take two years. "It is targeted that the construction will be completed before the end of December 2023", he said.

So far, PT Smelting has been processing copper concentrate from the PT Freeport Indonesia mine in Papua. PT Smelting has three factories, consisting of a smelter, a refinery, and a sulfuric acid plant.

"This expansion work is to add a new sulfuric acid plant. Also to increase the capacity of some equipment in the smelter and increase the number of electrolysis cells in the refinery", explained Wawan, Irjuniawan P Radjamin's nickname.

With the construction of this new factory, PT Smelting, which initially only processed 1 million tons of copper concentrate per year, will increase to 1.3 million tons of concentrate per year.

"PT Smelting continues to be committed to continuing to contribute to the country. With this increase in production capacity, it will certainly strengthen Indonesia as one of the world's copper producers", said Wawan, asserting.