Four existing alumina refineries may sustain Indonesia's bauxite ban

Indonesia's energy and mineral resources industry (ESDM) has assured that the four existing alumina refineries could engross Indonesia's bauxite production when the bauxite export restriction goes into effect in June 2023.

An ESDM ministerial staff for mineral and coal management acceleration said, "We will stop bauxite exports for sure."

These refineries, which are owned by PT Indonesia Chemical Alumina, PT Bintan Alumina Indonesia, PT Well Harvest Winning Alumina Refinery Line -1, and PT Well Harvest Winning Alumina Refinery Line -2, can consume mined bauxite and produce record tonnes of alumina, which was never according to the officer.

PT Indonesia Chemical Alumina refinery has the capacity to produce 300,000 tonnes of chemical-grade alumina (CGA) per year. In contrast, the PT Bintan Alumina Indonesia refinery could produce 2 million tonnes of smelter-grade alumina (SGA). Furthermore, two Well Harvest Winning may generate 2 million SGA.

The Indonesian government plans to end bauxite exports by June 10, 2023. The ban is in place to add value to processed bauxite products. For the record, turning bauxite into alumina can increase the additional value by several folds.

However, several bauxite mining and processing companies are concerned about the lack of support. Investors' hesitation in supporting projects powered by fossil-fuelled power plants has hampered bauxite smelting developments.