Vale Indonesia predicts that the output of nickel matte in 2022 will exceed the target

Abu also detailed that the company has two budgets, namely, maintaining capital expenditure and capital expenditure for expansion purposes.
To achieve the production target in 2023, he failed to specify the amount of capital expenditure (capex). However, Vale Indonesia’s sustainable capital expenditure is said to be US $130 million.

“Capital expenditure is still in the process of approval. As for PT Vale’s capital expenditure, it was about 130 million dollars last year, so will Sorowako (Block) next year. If Pomalaa, Sorowako and Bahodopi are very large according to the company’s disclosure report, then by the third quarter of 2022, Vale Indonesia’s matte output will be 43907 tons,” he said.

However, Ash stressed that in order to achieve the 2022 target, Vale needs to produce 21093 tons of nickel ice by the end of the year.

Bernardus Irmanto, chief financial officer of Vale Indonesia, explained that the production in the third quarter fell 9% year on year compared with the same period last year.

“This is mainly due to the implementation of the Furnace4 reconstruction project in the first half of 2022,” he said.

Even so, the total nickel production in the third quarter of 2022 increased by 39% compared with the previous quarter. This is mainly due to the completion of the transformation of furnace 4 in June 2022.