President Joko Widodo Formally Launches PT Freeport Indonesia Smelter Production, Recasting the Company as an Integrated Upstream to Downstream Mining Operation

23 September 2024

Gresik, 23 September 2024 – On Monday, Republic of Indonesia’s President Joko Widodo formally launched production from the PT Freeport Indonesia (PTFI) smelter located in the Gresik Special Economic Zone (SEZ) in East Java.

This launching event marks a new chapter in the government’s endeavor to increase value addition through the utilization of Indonesia’s natural resources. The launching event began with the arrival of the President and his ministers at the smelter and refinery area, attended by PTFI President Director Tony Wenas.

The President proceeded on a tour to observe the copper cathode production process and then went on to inscribe the first copper cathode product, to symbolize production commencement. The President expressed appreciation for PTFI’s timely smelter development, thereby enabling the refining of all copper concentrate production within the country and contributing to the embodiment of the vision to make Indonesia an advanced and self-sufficient nation. The President underscored the importance of minerals downstream as the key to boosting Indonesia’s competitiveness at the global level.

"PT Freeport Indonesia’s smelter development is our endeavor to promote Indonesia as an advanced industrial nation managing its natural resources on its own and no longer exporting raw material,” the President asserted.

The President said the PTFI smelter epitomizes the implementation of the downstream concept that is the new cornerstone of Indonesia’s economy, of no longer hinging solely on domestic consumption. “We intend to be based on production, and the productivity of businesses, whether state-owned or private,” he averred.

In his speech, Minister of State-Owned Enterprises (BUMN) Erick Thohir said the PTFI smelter plays a significant role in Indonesia’s development and represents the President’s commitment to minerals downstream.

"This represents the President’s commitment, his vision, his encouragement, and his oversight to ensure this materializes. To ensure growth of the nation’s economy,” he stated.

PTFI President Director Tony Wenas emphasized development completion and operation of the smelter represent PTFI's commitment to fulfilling the conditions stipulated in the company’s IUPK special mining business permit, towards supporting the minerals downstream program initiated by the government, and to demonstrate real contribution to building a more advanced Indonesia.

“Today we have achieved a significant milestone in the history of the company, by evolving to an integrated upstream to downstream mining operation. PTFI is running the world’s biggest underground mining operation, the world’s biggest single line smelter, it is the world’s biggest copper cathode producer, thus making it the biggest integrated upstream to downstream mining company in the world,” Tony said.

The launching event concluded with a ceremony for inscription of a plaque by President Joko Widodo, who was attended by Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia, BUMN Minister Erick Thohir, Investment Minister Rosan Roeslani, East Java Interim Governor Adhy Karyono, Central Papua Interim Governor Ribka Haluk, Gresik Regent Fandi Akhmad Y, PTFI President Director Tony Wenas, Chairman of the Board of Freeport-McMoRan Richard Adkerson, President and CEO of Freeport-McMoRan Kathleen Quirk, and other senior government officials.

Commencement of smelter production celebrates PTFI's success in bringing to bear domestic integrated upstream to downstream processing and treatment activity, in conformance with the mandate set forth in the IUPK awarded by the government, towards supporting Indonesia’s becoming an advanced and self-sufficient industrial nations.

PHOTO

CAPTION

RI President Joko Widodo launching PT Freeport Indonesia Smelter Production in the Gresik Special Economic Zone (SEZ) in Gresik, East Java on 23 September 2024.    

President Joko Widodo inscribing a plaque to mark the launching of PT Freeport Indonesia Smelter Production, at the Gresik SEZ in East Java on 23 September 2024.

RI President Joko Widodo, attended by Freeport Mc-MoRan Chairman of the Board Richard Adkerson (left) and PTFI President Director Tony Wenas (right) during the launching of PT Freeport Indonesia Smelter Production, at the Gresik SEZ in East Java on 23 September 2024.

RI President Joko Widodo inscribing the first copper cathode product during the launching of PT Freeport Indonesia Smelter Production, at the Gresik SEZ in East Java on 23 September 2024.

RI President Joko Widodo delivering his address during the launching of PT Freeport Indonesia Smelter Production, at the Gresik SEZ in East Java on 23 September 2024.

About PT Freeport Indonesia (PTFI) 

PT Freeport Indonesia (PTFI) is a mineral mining company affiliated with  Freeport-McMoRan (FCX) and Mining Industry Indonesia (MIND ID). PTFI mines and processes ore to produce copper concentrate, which also contains gold and silver.  

PTFI markets the concentrate to all parts of the world, and primarily to the first domestic smelter company, which is operated by PT Smelting. The PTFI mining operation is located in the Grasberg mineral district in Papua - Indonesia. PTFI currently runs the world’s biggest underground mining operation using the block caving method. In undertaking its mining operation, PTFI upholds and promotes responsible and sustainable business practices.   

 

Contact Info

Katri Krisnati 
Vice President, 
Corporate Communications 
PT Freeport Indonesia 
0811 173947 
kkrisnat@fmi.com

Desy Saputra 
External Communication Manager 
Corporate Communications 
PT Freeport Indonesia 
0812 84817710 
rsaputra24@fmi.com

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