PT Vale Indonesia Tbk has officially commenced the construction phase of infrastructure for the Indonesia Growth Project (IGP) in Pomalaa, Kolaka Regency, Southeast Sulawesi. 

In partnership with PT Leighton Contractors Indonesia (LCI), Vale is building the supporting infrastructure, which includes workshops, office areas, operational camps, the main entrance, and various other facilities such as operation buildings, maintenance buildings, residences, and support buildings.  

The project, developed by LCI, is scheduled for completion within 26 months, by October 31, 2026. 

As of July, Vale reported that the overall physical progress of the IGP Pomalaa project has reached 31%, including the initial construction phase of the HPAL (High Pressure Acid Leaching) processing plant. The plant is being developed in collaboration with Zhejiang Huayou Cobalt Co., Ltd (Huayou), a company specializing in laterite nickel processing.  

The Pomalaa block holds significant potential for limonite ore, a type of nickel ore that has previously been underutilized. Through HPAL technology, Vale is unlocking new opportunities to transform limonite into a strategic resource for electric vehicle battery materials. 

“Since early 2022, we have partnered with Huayou, which has technological expertise in HPAL. This project symbolizes how Kolaka's limonite can become a source of prosperity rather than waste. We cannot do it alone—we collaborate with partners like LCI,” said PT Vale’s Head of the Pomalaa Project, Mohammad Rifai, in a press release on Thursday, July 31. 

According to Vale’s official website, the company is responsible for supplying the nickel ore, while Huayou will oversee the nickel processing at the HPAL-based facility. 

The project is expected to produce 120,000 tons of nickel and approximately 15,000 tons of cobalt annually, both contained in Mixed Hydroxide Precipitate (MHP) products. Vale's total investment in the Pomalaa Block for the mine and HPAL facility amounts to USD 4.5 billion or approximately IDR 73.73 trillion. 

This article is published in partnership with Katadata 

Original article here