off-the-wire

Eramet, BASF cancel plan to invest $2.6 billion in refining complex in Indonesia

Kitco Media
By Reuters
Published:
Updated:
Reuters
Eramet, BASF cancel plan to invest $2.6 billion in refining complex in Indonesia teaser image

French miner Eramet said on Monday it had decided, along with Germany’s BASF, to cancel a $2.6 billion joint investment project in a nickel-cobalt refining complex in Weda Bay, Indonesia.


“After a thorough evaluation, including discussions about project execution strategy, both partners have decided against this investment,” Eramet said in a news release, without elaborating.


“Eramet will continue to evaluate potential investments in the nickel electric vehicle battery value chain in Indonesia and will keep the market informed in due course”, it added.

In January 2023, Indonesian officials had saidthe French group and BASF were close to finalising a $2.6 billion investment in the production of nickel for use in batteries for electric vehicles. The project was based on resources extracted from Eramet’s mine in Weda Bay.

Eramet had then confirmed negotiations were underway, but said the project was subject to a final investment decision.

(By Alban Kacher; Editing by Angus MacSwan and Mark Potter)

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.