Due to the demands of modern developments, ITMG is diversifying into the nickel mining sector

PT Indo Tambangraya Megah (ITMG) is diversifying by entering the nickel mining sector. This step was taken as part of the company’s efforts to support the electric vehicle ecosystem.

“The company also plans to acquire a nickel company, to provide raw materials for electric vehicle batteries,” said ITMG Director of Corporate Communications and Investor Relations, Yulius Gozali, quoted on Saturday (20/5/2023).

Yulis continued, ITMG’s entry into the nickel mining sector was an effort to transition to a non-coal business due to the demands of current developments. Apart from that, business diversification into the nickel sector is also the direction of a conglomerate company from Thailand, namely Banpu Minerals (Singapore) Private Limited, which is the main shareholder of ITMG.

For information, Banpu has already diversified from initially only being in the coal business and switching to the nickel and electric vehicle sectors. Previously, Indo Tambangraya Megah (ITMG) also stated that it was ready to support the development of the national capital (IKN) by providing electricity supplies from solar power plants.

In 2020, Indominco Mandiri has started PLTS operations at a 3 hectare coal mine site, which uses the largest smart microgrid technology in Indonesia with a capacity of 3 MW with stored energy of 2MW.

Era explained that the company has a large area for PLTS, so it can support electricity supply to IKN. He added that his subsidiary has the potential for 100 MW PLTS. Era added that in running its business around 50% of the electrical energy for IMM’s coal mine operations comes from PLTS. To carry out this plan, ITMG spent a capex (capital expenditure) of USD 1 million for 1 MW.

As of March 2023, ITMG posted a net profit of USD 182.71 million, this figure was down 14.32% from the realization in the same period the previous year which was recorded at USD 213.27 million. Meanwhile, the company’s revenue in the first three months of this year was recorded at USD685.58 million, up 7.13% from the same period the previous year which amounted to USD639.93 million.

Source: https://www.emitennews.com/news/tuntutan-perkembangan-zaman-itmg-lakukan-diversifikasi-ke-sektor-tambang-nikel