Freeport Indonesia Drops Copper Smelter Plans with Tsingshan
Reuters reported that American mining giant Freeport McMoRan will not proceed with plans to build a new copper smelter with China’s Tsingshan Holding Group. Its unit PT Freeport Indonesia’s spokesman Mr Riza Pratama told Reuters “We could not reach an agreement.”
Indonesian authorities have for months said that a deal would be made between Freeport Indonesia and the Chinese steel and nickel company to build a new copper smelter worth USD 2.8 billion.
Instead, Freeport Indonesia will go ahead with plans to build a new smelter near its existing copper refining operations in Gresik in East Java. Freeport Indonesia signed an engineering, procurement and construction contract with Japanese engineering company Chiyoda to build the new Gresik smelter, which will have a capacity of 1.7 million tonnes of copper concentrate a year. The two companies will also build a precious metal refinery nearby.