Investment Realization Of Freeport Smelter Project In Gresik Reaches IDR 23.82 Trillion

Illustration of Smelter (Photo: doc. Antara)

SURABAYA - Investment realization for the construction of the PT Freeport Indonesia (PT FI) smelter project in the Java Integrated and Industrial Port Estate (JIIPE) area, Manyar, Gresik, East Java, has reached US$1.6 billion or IDR 23.82 trillion (exchange rate IDR 14,888 per US dollars).

Coordinating Minister for the Economy Airlangga Hartarto said the existence of the smelter in Gresik is the largest Single Line Design Smelter in the world, with a concentrate processing capacity of 1,700,000 dmt per year.

"So this is an extraordinary investment, the total investment that will be achieved here reaches US$3 billion," Airlangga Hartarto said, quoting between, Friday, February 3, 2022.

The target for the completion of the smelter construction is the end of 2023, commissioning by the end of May 2024, and commercial operation by the end of 2024.

Airlangga said the progress of the pile smelter construction had reached 17,434 or 100 percent, while the concrete work was around 45 percent or 100 thousand m3.

During the visit, Coordinating Minister Airlangga Hartarto was accompanied by Deputy Trade Minister Jerry Sambuaga and PT Freeport Indonesia President Director Tony Wenas.

Tony said, for Human Resources, Freeport has started recruitment and training, so that Freeport's smelter will be operated alone.

Tony said the presence of a smelter in Gresik has helped state recipients of US$3.7 billion or above Rp50 trillion, which was obtained from taxes, royalties, and other levies.