Eramet Agrees to Reduced Production Quota for Its Indonesian Nickel Joint Venture
The joint venture PT Weda Bay Nickel, co-owned by Eramet, has been notified by Indonesian authorities to adhere to an annual production and sales volume of 12 million metric tons. This quota is a significant reduction compared to previous allocations.
Initial Notification and Production Plans
PT Weda Bay Nickel received an initial notification from the Indonesian authorities instructing to prepare a Work Plan and Budget reflecting an annual production and sales volume of 12 million metric tons. This level is in stark contrast to the initial RKAB granted for 2025, which was set at 32 million metric tons and later revised upwards to 42 million metric tons in July 2025. The Indonesian authorities justify this restrictive policy as necessary to support sustainable management of the nickel industry in Indonesia and to ensure market balance. PT WBN acknowledges the sensitive and complex nature of this quota system. The joint venture commits to preparing the new RKAB and to discussing with local authorities, subcontractors, clients, and regional stakeholders the ways to adapt its mining operations to minimize economic impacts on the North Maluku region.
Plans for Quota Revision
In accordance with Indonesian procedures, PT Weda Bay Nickel plans to request a revision of this production and sales quota to a higher level as soon as possible. This additional request will consider the supply needs of the processing units and HPAL facilities operating within the IWIP industrial park, estimated at over 100 million metric tons. The joint venture remains engaged in constructive dialogue with the Indonesian authorities, aiming to achieve production levels compatible with the long-term sustainability of operations and the continued positive impact on its employees, local communities, and the regional economy.
About Eramet
Eramet is a mining and metallurgical group involved in the transformation of mineral resources. The group enhances and develops manganese, nickel, mineral sands, and lithium. Eramet operates in the supply of metals for infrastructure, mobility solutions, health tools, and telecommunications devices.
