STX Searches for Nickel in Indonesia... Production Scheduled for First Half of Next Year

The joint venture established by STX and an Indonesian company announced on the 1st that it has begun local nickel mine drilling exploration.

Earlier, the company formed the joint venture last August and secured a 20% stake in a nickel mine located in the Sulawesi region of Indonesia. Drilling exploration is a process of verifying the mineral resource reserves, production volume, and quality by analyzing geological program data and terrain samples before full-scale development.

[Photo by STX]

STX stated that it is focusing its development efforts on areas with large reserves designated as priority development zones. The company expects the mine to produce 2 million tons annually and generate sales exceeding $130 million (approximately 170 billion KRW). Based on the mineral rights already secured, it is also undergoing licensing procedures to obtain mining rights, smelting rights, and others. There is an industrial complex near the mine with more than 10 factories producing stainless steel and smelters. This means they have secured demand channels to sell the production as it is made.

An STX official said, "We will establish advantageous positions for securing supply chains as a raw material trading specialist by using the Madagascar Ambatovy mine and the Indonesian Sulawesi mine, in which the company holds stakes, as two key bases. We also expect to increase profitability through raw material e-commerce on the global B2B platform to be launched later this month."

This content was produced with the assistance of AI translation services.