PT Vale Indonesia signs agreement with Huayou Cobalt

PT Vale Indonesia Tbk, a subsidiary of Brazilian mining giant Vale SA, said on Monday that the company has signed a Definitive Cooperation Agreement with Zhejiang Huayou Cobalt Co Ltd to process nickel ore from its Pomalaa Block in Indonesia, a key milestone as part of its project pipeline.

This agreement, signed on Sunday during the B20/G20 Summit in Nusa Dua, Bali, is part of PT Vale's commitment to build out its world-class project portfolio.

The Pomalaa Block High-Pressure Acid Leach project is estimated to produce up to 120 kilotons of nickel that will be important for supporting the electric vehicle battery ecosystem, it said.

"The Pomalaa Block HPAL Project is a cornerstone of PT Vale's sustainable growth agenda that will drive local and national economic and social development well into the future," said PT Vale Indonesia CEO Febriany Eddy.

"This project is a testament to PT Vale's commitment to sustainable mining practices which is aligned with B20 priorities of ensuring just and orderly energy transition," she said.

Huayou Chairperson Chen Xuehua said the cooperation is a combination of PT Vale's mineral resource advantage and Huayou's advanced HPAL technology advantage, which will achieve sustainable mineral resource development.

Huayou will work closely with PT Vale Indonesia to ensure the adoption and implementation of leading environmental, social, and corporate governance (ESG) practices, he said.