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Antam-Freeport to Miss Deadline with Indonesian Copper Smelter
Apr. 04, 2014 08:55AM PST
Base Metals Investing Reuters reported today that Freeport McMoRan Copper & Gold Inc and Indonesia’s Aneka Tambang may not be ready with a joint copper smelter venture before Indonesia bans concentrate exports in 2017. This could cause dramatically reduced copper output in the future, as PT Smelting, currently the only copper smelter in Indonesia, is only capable of processing 20% of the national output of concentrate.
Reuters reported today that Freeport McMoRan Copper & Gold Inc and Indonesia’s Aneka Tambang may not be ready with a joint copper smelter venture before Indonesia bans concentrate exports in 2017. This could cause dramatically reduced copper output in the future, as PT Smelting, currently the only copper smelter in Indonesia, is only capable of processing 20% of the national output of concentrate.
According to the publication:
The two firms began studying the feasibility of a copper smelter project in January soon after Indonesia halted exports of unprocessed minerals and ruled that miners must refine metals domestically by 2017 as well as pay an escalating export tax that reaches 60 percent in 2016.
