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Indonesian Mining Giant Seeks to Triple Aluminum Production

  • Inalum will boost its production capacity to 750,000 tons
  • Indonesia is pushing investment in downstream activities
Aluminum Production At Alumetal Group Hungary Kft.
Photographer: Akos Stiller/Bloomberg
Updated on

PT Indonesia Asahan Aluminium has set a long-term goal of tripling its production capacity by expanding operations to the island of Borneo as it seeks to utilize the region’s abundant bauxite reserves.

The state-owned company known as Inalum plans to boost capacity to 750,000 tons by building a 500,000-ton smelter in North Kalimantan, on the Indonesian side of Borneo, as power supply constraints limit the expansion of its sole facility in Kuala Tanjung, North Sumatra, according to Managing Director Oggy Achmad Kosasih. He didn’t give a timeline.