ASIATODAY.ID, JAKARTA – PT Vale Indonesia Tbk (INCO) has temporarily halted all mining operations across its Special Mining Business License (IUPK) areas at the start of 2026.
The suspension comes as the company awaits approval of its 2026 Work Plan and Budget (RKAB) from the Ministry of Energy and Mineral Resources (ESDM).
“The delay in RKAB approval has directly affected our operations across all IUPK areas,” said INCO Corporate Secretary Anggun Kara Nataya on Friday, January 2, 2026.
She emphasized that the delay does not have a material impact on the company’s current financial condition and expressed hope that the RKAB will be issued soon to resume normal operations.
Threats to Indonesia’s Nickel Supply
As the world’s largest nickel producer, Indonesia risks losing its momentum in the global market, especially as nickel prices are soaring sharply.
The delay raises questions about bureaucratic efficiency at the Ministry of Energy and Mineral Resources and potential risks to investment in the nickel sector.
Analysts warn that production disruption could affect the supply chain of electric vehicle batteries, where nickel is a critical component.
Vale’s Major Mining Expansion
Vale is currently developing three major nickel mines—Bahodopi, Pomalaa, and Sorowako—combined with the construction of smelter facilities.
Bahodopi is a strategic project to diversify the company’s product portfolio, increasing saprolite sales that were previously concentrated on nickel matte.
Bahodopi: Saprolite sales began in July 2025, totaling 896,263 wet metric tons as of September 2025.
Pomalaa: Scheduled for Q2-2026, in partnership with Zhejiang Huayou Cobalt Co. Ltd. and Ford Motor Co.
Sorowako: Final stage of Vale’s mining expansion, in collaboration with Huayou.
In downstream development, Vale is building HPAL (High Pressure Acid Leach) smelters with global partners. (ATN)
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