JAKARTA. PT Harum Energy Tbk (HRUM), a coal mining company owned by the magnate, Kiki Barki, has acquired shares of a nickel processing and refinery company, PT Westrong Metal Industry (WMI).

Ray A. Gunara, President Director of HRUM, revealed that the acquisition of WMI is carried out through one of its subsidiaries, PT Harum Nickel Industry (HNI). The number of acquired WMI's shares amount to 1,214,000 shares, representing 60.7% of shares.

All those shares are taken over by WMI from Prime Investment Capital Limited (PICL) and Walsin Singapore Pte. Ltd (WS). The acquisition value reaches USD 215.22 million. 

For the record, WMI is currently managing and operating a nickel smelting facility located in Indonesia Weda Bay Industrial Park, North Maluku. The smelter consists of 4 lines of rotary klin electric furnace (RKEF), as well as supporting infrastructure and converting facility. The annual production capacity of this acquired smelter is approximately 56 thousand tons of nickel. 

"As of now, WMI's project is at the final stage of construction, and is being prepared to be able to initiate the commercial operation by the second quarter of 2024," said Gunara in the official information.

Previously, HNI had also acquired 20% of WMI in April 2022. Therefore, the number of HNI's shares acquired by HRUM through WNI will rise to 80.7%. The remaining 19.3% belongs to PICL.

"Such transaction is a part of the company's effort to continue to enhance business diversification through investment in the nickel sector," added Gunara. (KR/ZH)