PT Freeport Indonesia is speeding up the construction of a purification facility (smelter) in Gresik, East Java. This smelter is planned to start operating in May 2024. The smelter project is located in the Java Integrated Industrial and Port Estate (JIIPE) industrial area. The Freeport smelter project occupies an area of 100 hectares (ha). The capital expenditure or capital expenditure for this project is US$ 3 billion or around IDR 45 trillion (exchange rate of IDR 15,000). The budget includes the construction of precious metal refinery (PMR) facilities. Some products will be produced from these facilities, among others, copper cathodes, gold and silver bars, and Platinum Group Metals (PGM). The following facts:
1. Production of 52 tons of gold bars per year
PT Freeport Indonesia’s Technical Affairs and Smelting Project Support Manager, Erika Silva said the smelter will produce 600,000 tons per year of copper cathodes. Then, the smelter will produce a side product in the form of 6,000 tons of anode mud per year. The anode mud is then purified through PMR which produces several products such as 52 tons of gold, 210 tons silver, 0.03 tons platinum, 0.375 tons paladium, 285 tons selenium, 220 tons bismut, and 2,200 tons of lead.
“The gold bar product is around 50 tons per year, the company is around 200 tons,” he said at Jiipe Gresik, East Java, Wednesday (3/29/2023).
2. Will be purchased by PT Aneka Tambang Tbk (Antam)
For gold, his party is conducting a discussion with PT Aneka Tambang Tbk (Antam) to absorb the product. Then, it will also conduct explorators for bullion banks or gold banks.
“For the gold that will be produced by the PMR, it is also being intense discussion with Antam to offer our gold take. “Then Bullion Bank, Bullion Bank, this plan will be planned from the Coordinating Ministry for Economic Affairs whether later we will cooperate with Bank Indonesia, we still do not know in detail, but this is also still being explored,” he explained.
3. Smelter progress 56%
The progress of the construction of copper and PMR smelters reached 56.5% as of February 2023. The project was targeted to be completed in December 2023.
“In terms of progress progress, our physical total progress is at 56.5% of the 56.5% plan means we match the target,” he said. Pre commissioning and commissioning were carried out until the end of May 2024. Then, the smelter was targeted to start operations at the end of May 2024.
“Starting in May we will be run up until hopefully it will be fully operational at the end of 2024 or early 2025,” he said.
March 30, 2023, detikFinance
(https://finance.detik.com/energi/d-6644642/freeport-kebut-proyek-smelter-rp-45-t-di-gresik-begini-penampakannya)
(https://finance.detik.com/energi/d-6645486/smelter-freeport-bakal-produksi-emas-batangan-52-tontahun-ini-3-faktanya)