Develop Battery, IBC Pockets 15 Billion US Dollars From South Korea And China

Nicolas D. Kanter (President of ANTAM)-Bang Soo Lee (President/CRO of LG Energy Solution)-Toto Nugroho (President of IBC). (Photo: Doc. IBC)

JAKARTA - PT Industri Battery Indonesia or Indonesia Battery Corporation (IBC) has received an investment of USD 15 billion from two partnerships to develop an electric vehicle battery ecosystem in the country.

The first is the partnership established by one of IBC's holding companies, namely PT Aneka Tambang Tbk (Antam) with a Chinese corporation PT Ningbo Contemporary Brunp Lygend Co. Ltd. (CBL) for the integrated electric vehicle battery project initiative. The second partnership is a similar agreement with LG Energy Solution, a South Korean company.

IBC President Director Toto Nugroho said that this strategic partnership will accelerate the development of a sustainable electric vehicle ecosystem which is believed to be able to arouse the passion of the environmentally friendly automotive industry.

"With this integrated battery industry, it is hoped that it can accelerate the growth of the electric vehicle ecosystem," Toto said in a written statement, Monday, April 18.

He added that in the long term the line of business that will be developed by the company in line with this partnership will be wider, which will not only have an impact on the battery industry from upstream to downstream.

"This is expected to accelerate the growth of the electric vehicle ecosystem, create new jobs, increase TKDN, and increase the use of batteries for other needs," he said.

For your information, IBC is a subsidiary of MIND ID, PLN, Pertamina, and ANTAM which has the task of developing electric vehicle batteries in order to strengthen the independence of the national automotive manufacturing.

As a representative of IBC shareholders, MIND.ID President Director Hendi Prio Santoso expressed his appreciation for the historic moment of downstream mining at MIND.ID Group expressed his gratitude to various parties who have worked hard to realize this collaboration.

"Antam, IBC, with CBL and LGES can continue cooperation to a more implementable level and bring benefits to all," he said.

Antam's President Director, Nico Kanter, expressed his support for the signing of this framework agreement. According to him, this partnership is the first step to develop an electric vehicle battery ecosystem in Indonesia.

"Antam supports the government's initiation in the development of electric vehicle batteries as an effort to develop an integrated downstream battery industry and increase the added value of Indonesian mineral commodities in a more strategic direction," said Nico.

Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Luhut Binsar Pandjaitan said this step is a good step for Indonesia to become a major player in the electric vehicle battery industry.

"This is an important step for Indonesia to become one of the largest battery industry players in the world," said Luhut.

Similarly, Deputy Minister of SOEs Pahala Mugraha Mansury said the cooperation in developing this project is one of the most strategic initiatives within the Ministry of SOEs in downstream activities.

Pahala also expressed his hope that the consortium of IBC shareholders could also be involved in activities to accelerate the realization of investment activities in the development of the battery ecosystem.

"The development of the electric vehicle battery ecosystem initiative allows Indonesia to enter the global supply chain of the battery industry which is very important for people around the world," said Pahala.

The Minister of Investment/Head of the Investment Coordinating Board, Bahlil Lahadalia, also expressed his support.

"We look forward to the next steps from the parties after the signing so that it can be implemented immediately," said Bahlil.