PT Merdeka Battery Materials Tbk (MBM) operates nickel mines and smelters, which are linked to the development of nickel industrial zones in Central and Southeast Sulawesi, Indonesia. Having launched its initial public offering under the ticker MBMA in April 2023 and raising IDR 9.2 trillion in fresh funds, MBM is actively advancing its position to become a key provider of battery raw materials for the world’s electric vehicles, through integrated business assets.
MBM sources its nickel raw materials from the SCM Mine (Sulawesi Cahaya Mineral), a globally significant, cost-effective, and high-quality nickel mining operation in Konawe, Southeast Sulawesi. Spanning over 21,100 hectares, the SCM Mine contains approximately 13.8 million tonnes of nickel (1.22% Ni content) and 1.0 million tonnes of cobalt (0.08% Co content). In the coming decades, the SCM Mine will serve as the primary source of limonite and saprolite nickel ores for the MBM’s diverse downstream business activities. The saprolite nickel ore from the SCM Mine is sent to three nickel smelters with RKEF technology (Rotary Kiln Electric Furnace) in Indonesia Morowali Industrial Park (IMIP), Central Sulawesi, to be processed into Nickel Pig Iron (NPI).
MBM remains committed to enhancing its production value. In May 2023, MBM acquired a 60 percent ownership stake in PT Huaneng Metal Industry (HNMI), a fully operational nickel conversion facility. HNMI’s role is to convert NPI output from the three RKEF smelters into nickel matte.
Another product of the SCM Mine, limonite nickel ore, is set to be processed at two HPAL (High-Pressure Acid Leach) factories. These factories are in the planning stage for a planned operation in 2025 at the Indonesia Konawe Industrial Park (IKIP), a sprawling 3,500-hectare zone dedicated to battery raw material production. This park is a collaborative effort involving various business partners and will be established within the SCM Mine’s concession area.
Furthermore, MBM holds an 80 percent ownership share in PT Merdeka Tsingshan Indonesia (MTI) which operates the AIM (Acid Iron Metal) Project. The AIM Project, located at IMIP, is designed to process spent ore from the Wetar Copper Mine into sulfuric acid, saturated steam, iron ore pellets, copper sponge, lead-zinc hydroxide, dore gold, and silver.