Huayou Replaced LG, Ministry Of Energy And Mineral Resources Ensures Ready To Facilitate New Investors

Illustration (Photo: Doc. ANTARA)

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) has confirmed that it will facilitate new investors to replace LG Energy Solution who leave the electric vehicle battery project in Indonesia.

Just so you know, this South Korean company will be replaced by Zhejiang Huayou Cobalt Co.

Director General of Mineral and Coal (Minerba) Tri Winarno said the government would assist investors who would enter the investment project and hear the input submitted.

"What is clear is this point, the government always provides facilitating every investment. The government is trying to get closer to how investment can enter," he told the media crew, Friday, April 25.

Meanwhile, regarding Huayou, who is the replacement for LG, Tri said he could not confirm whether there would be other partners to invest with this original Chinese company. For this reason, he emphasized that the government is open to additional partners.

"For example, B2B (business to business) right, the government can't manage it. Yes, go ahead if for example (want to find a partner). What is clear is that if there are problems, problems, they are conveyed to us, we facilitate them. That's the point, yes," said Tri.

Just so you know, previously the Minister of Investment/Head of BKPM Rosan Perkasa Roeslani said the decision to withdraw LG from the Titan project was the decision of the Indonesian Government through a letter issued by the Ministry of Energy and Mineral Resources (ESDM) on January 31.

"More precisely than us who decided based on the January 31, 2025 letter issued by the Ministry of Energy and Mineral Resources," said Rosan, quoted on Thursday, April 24.

This decision was taken because negotiations between Indonesia and LG lasted for five years had not yielded significant results.

"Because the negotiations have been going on for too long while we want this to go well because of the five-year negotiations. It can't be a long project," continued Rosan.

Therefore, the government took the initiative to issue a letter of termination of cooperation which was immediately sent to the CEOs of LG Cheem and LG Energy Solution.