Nickel Industries (NIC), an Australian company specializing in nickel pig iron production, has commenced the commissioning of its 380-megawatt (MW) power plant in the Indonesia Morowali Industrial Park (IMIP) in Central Sulawesi. The Oracle Nickel project is part of a cooperation with Shanghai Decent. Nickel Industries owns 70% of the project and bought an additional 10% for USD 75 million earlier in 2023.
Four Rotary Kiln Electric Furnace (RKEF) lines have been gradually commissioned over the previous months. However, inadequate power supply within the IMIP energy grid has limited output levels to 80%. The Managing Director of Nickel Industries indicated that the power plant’s early commissioning would enhance output levels to roughly 130% of the nameplate capacity.
Oracle Nickel’s RKEF lines, like the company’s Angel Nickel project in Indonesia’s Weda Bay Industrial Park on Halmahera Island, are expected to save more than 20% on power prices, with current electricity expenses accounting for 25% of total operational costs. This considerable reduction in the electricity component of Oracle’s operational cash expenses would allow its the company to achieve profits of USD 4,894 per ton compared to USD 1,559 per ton from its older Ranger Nickel lines in the March quarter.
(Source: The Market Herald; Mining Weekly; Asia Miner News)
