Jakarta, CNBC Indonesia – MIND ID State Owned Enterprises (BUMN) Holding revealed that there are three location options that are likely to be built by an electric vehicle battery factory, including Southeast Sulawesi, Halmahera, and Papua.
President Director of MIND ID Orias Petrus Moedak said the three locations were selected for the construction of a battery factory because they were close to the nickel mining area managed by PT Aneka Tambang Tbk (ANTM).
“The choice of factory locations is in Southeast Sulawesi, Halmahera, and Papua, the choice is there. From friends, Antam will explain the details and also the team formed by the Minister will report and decide where. But it is likely in the three places,” explained Orias in a virtual discussion with journalists on Thursday (16/10/2020).
A number of SOEs, namely MIND ID through Antam, along with PT Pertamina (Persero) and PT PLN (Persero) will form a holding company, PT Indonesia Battery, which will run an integrated electric vehicle battery supply chain business from upstream to downstream.
Orias said that currently his party is in the process of legally processing the formation of this company and it is hoped that in the next one to two months this holding company will be formed.
The plan to build this electric vehicle battery factory becomes even more real when there are two world-class battery manufacturers from China and South Korea, namely Contemporary Amperex Technology Co. Ltd. (CATL) and LG Chem Ltd are interested in investing in a battery factory in Indonesia with a total project value of US $ 20 billion or the equivalent of Rp 296 trillion (assuming an exchange rate of Rp 14,800 per US $).
Orias said it only takes about two to three years to build this battery factory.
“About 2-3 years (to become the factory). Yes (fast),” he said.
(wia)
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