On February 20, it was reported that Indonesia Asahan Aluminium (Inalum) has set a goal to ensure that the Mempawah smelter-grade alumina refinery (SGAR) is operational by the end of 2024. This project was officially designated as a National Strategic Project (PSN) in December 2023.
Mahyaruddin Ende, company secretary of Inalum at the Mempawah Smelt-Grade Alumina Refinery (SGAR), part of the Mining Holding Group, said they hoped everything would go according to plan and have the support of all stakeholders to realise the dream of downstream bauxite-aluminium minerals. Inalum is optimistic that the Mempawah Sgar plant will be operational in the second half of 2024 and is optimistic that it will reach maximum production levels in 2025.
The smelting-grade alumina refinery in Mempawah, West Kalimantan, is a strategic project jointly implemented by Inalum and Aneka Tambang (ANTM) through Borneo Alumina Indonesia (BAI). Currently, the construction of Mempawah Sgar is over 80% progressive.
The SGAR project will optimize the ** chain between bauxite minerals and aluminum smelters in West Kalimantan. Once operational, the plant will produce 1 million tonnes of alumina per annum and is expected to produce 3.3 million tonnes of bauxite mineral feedstock per annum.
The project is divided into two phases and is expected to cost approximately $1.7 billion. At Mempawah Sgar, the obtained bauxite minerals are processed into alumina domestically, avoiding the need to ship bauxite mineral feedstock abroad, thus reducing operating costs.
In addition to the SGAR project, Inalum is also undertaking other corporate activities, including a reduction furnace technology upgrade project in 2023, a project aimed at increasing the capacity of the Kuala Tanjung smelter in 2024-2025, and a project to strengthen and diversify the IAA aluminum remelting.