Chinese company to build $600m ferronickel smelter in Sulawesi

China's Dafeng Port Group said that it will invest up to US$600 million to build a ferronickel smelter with the capacity of 2 million tons in Kendari, Southeast Sulawesi province as quoted by xinhuanet.com.

President Ni Xiangrong Dafeng Port Group as quoted by peopledaily.com said that smelting plant will occupying an area of around 600 hectares

Construction of the plant is expected to be completed at the end of next year.

Besides the ferronickel smelter, Dafeng Port Croup also plans to build a coal-powered electricity plant with a capacity of 360 megawatt.

Nin Naixuan, president of PT Nobel Mining, Dafeng Port Croup's local partner, said the building of a smelter will surely increase the employment opportunities, promote local economic growth and boost trade between Indonesia and China.

Dafeng Port Croup's Ni expressed the belief that building a smelting plant in Indonesia would benefit China, saying,

"Ferronickel produced from this project will be an alternative supply for stainless steel producers in China."(*)