JAKARTA (Reuters) – A British consortium that includes mining giant Glencore (GLEN.L) will invest about $9 billion in Indonesia’s mining and electric vehicle (EV) battery sectors, a minister said on Wednesday, as the resource-rich country tries to lure a host of multinational firms.

Indonesia, which has the world’s biggest nickel reserves, is keen to develop downstream industries with the ultimate aim of producing batteries and vehicles for the world’s biggest electric car manufacturers.

Investment Minister Bahlil Lahadalia did not provide a breakdown of the $9 billion but said it would go into an industrial park in the Bantaeng region on Sulawesi island powered by wind energy, with a completion target of September.

The ministry confirmed the British consortium included firms such as Glencore (GLEN.L), Indonesian state miner Aneka Tambang, materials company Umicore and energy company Envision Group.

Envision and Aneka Tambang (ANTM.JK) did not immediately respond to a request for confirmation.

A spokesperson for Glencore said the firm did not comment on rumours.

Umicore declined to comment.

“The investment is about $9 billion if it is according to plans. If we can speed it up we’ll do it,” Bahlil told reporters.

Toto Nugroho, chief executive of state battery company Indonesia Battery Corporation, said the investment was expected to help Indonesia enter the British and European markets.

Indonesia’s government has banned exports of unprocessed nickel ore since 2020 to ensure supply for existing and potential investors while it also tries to lure global EV makers such as Tesla (TSLA.O) and China’s BYD Group. 

Leave a Reply

Your email address will not be published. Required fields are marked *