DJ Antam To Meet 2008 Nickel Target Despite Smelter Shutdown SYDNEY (Dow Jones)--Indonesian nickel, gold and bauxite producer PT Aneka Tambang (ANTM.JK), or Antam, Thursday said it will meet its 2008 nickel output target, despite smelter maintenance.
The miner reported first-quarter nickel output of 4,362 metric tons, virtually unchanged on the same quarter a year before. This means Antam has fulfilled 26% of its production target of 17,000 tons of contained nickel in ferronickel. Operations at two of its three smelters were stable, while output at the other was reduced because of routine maintenance. Antam switched off the smelter for repairs on February 19, and expects to complete the overhaul that is done every eight to 10 years in the middle of the second quarter. "Despite the overhaul of FeNi I smelter, Antam expects to achieve its 2008 ferronickel production target of 17,000 tons," the company said in a statement. Gold output was 21% higher, at 935 tons, as a result of higher gold ore output and higher grades, and bauxite production was 59% lower, at 181,141 tons, in line with lower demand for Antam's low-quality, high-silica bauxite ore. Last year, Antam and Russian aluminum giant UC Rusal signed an agreement to explore for bauxite deposits and investigate building an alumina refinery in the Indonesian part of Borneo. Separately, Antam, in a joint bid with China's Shenzhen Zhongjin Lingnan Nonfemet Co. (000060.SZ), is also locked in a takeover battle with Indonesian coal producer PT Bumi Resources (BUMI.JK) for Australia's Herald Resources Ltd. (HER.AU).
